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On the Probablistic Relationship between the Public Good Index and the Normalized Bannzhaf Index

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  • Mika WidgrÚn

    (Turku School of Economics and Business Administration, Yrj÷ Jahnsson Foundation and CEPR, Turku, Finnland)

Abstract

In this paper we develop a probablistic interpretation for the normalized Banzhaf index and the public good index. We then derive a way to decompose the normalized Banzhaf index into two parts. The first of them relates the Banzhaf index with the public good index and the other one on a special type of luck. Similarities and differences of the two indices are then discussed.

Suggested Citation

  • Mika WidgrÚn, 2002. "On the Probablistic Relationship between the Public Good Index and the Normalized Bannzhaf Index," Homo Oeconomicus, Institute of SocioEconomics, vol. 19, pages 373-386.
    • Handle: RePEc:hom:homoec:v:19:y:2002:p:373-386
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