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AA00260492-19920001-0045.pdf
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Title |
Title |
OPTIMUM SUPPLY OF INTERNATIONAL PUBLIC GOODS
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TERASAKI, Katsushi
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Kana |
テラサキ, カツシ
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Nishogakusha University
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Keio Economic Society, Keio University
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1992
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Keio economic studies
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29
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1
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1992
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45
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61
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Abstract |
This paper tries to explain the optimum supply of international public goods and bads between two small open economies, both of which produce two tradable private goods and one non-traded international public good with two kinds of factors the supplies of which are inelastic. Each country can consume domestic and foreign-made public goods by the same amount. Another model deals with international public bads which are good for a providing country but bad for the other country. We show the first-best solution, the optimum tax system, the Nash and Stackelberg equilibria, a free-rider condition and the possibility of immiserizing growth.
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