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International aspects of public goods provision

Sandmo, Agnar
Working paper
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URI
http://hdl.handle.net/11250/162920
Date
2002-02
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  • Discussion papers (SAM) [578]
Abstract
This paper considers the extension of the theory of public consumption goods to an

international context with public goods whose benefits are global. In one version of the model

there are no restrictions on lump sum transfers within and between nations, and the

Samuelson conditions for welfare maximization then hold for the world as a whole. However,

in another version there are no income transfers between nations, and the conditions then have

to be modified. In particular, it is shown that global production efficiency is not in general

desirable in the absence of international transfers. Problems of national incentives and international implementation are also considered.
Publisher
Norwegian School of Economics and Business Administration. Department of Economics
Series
Discussion paper
2002:3

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