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Collective Decisions and Competitive Markets

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  • Hans Gersbach
  • Hans Haller

Abstract

In a general equilibrium model, we allow for households with several, typically heterogeneous, members; households that make (efficient) collective consumption decisions where different households may use different collective decision mechanisms; yet households that operate within a competitive market environment. The interaction of two allocation mechanisms, collective decisions and competitive markets, is investigated, with a focus on the efficiency properties and decentralization possibilities of the dual allocation mechanism.

Suggested Citation

  • Hans Gersbach & Hans Haller, 2001. "Collective Decisions and Competitive Markets," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 68(2), pages 347-368.
    • Handle: RePEc:oup:restud:v:68:y:2001:i:2:p:347-368.
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    File URL: http://hdl.handle.net/10.1111/1467-937X.00172
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