Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
972091 | Mathematical Social Sciences | 2009 | 12 Pages |
Abstract
We characterize the sharing rule for which a contribution mechanism achieves efficiency in a cooperative production setting when agents are heterogeneous. This rule differs from the one obtained by Sen for the case of identical agents. We also show for a large class of sharing rules that if Nash equilibrium yields efficient allocations, the production function displays constant returns to scale, a case in which cooperation in production is useless.
Keywords
Related Topics
Physical Sciences and Engineering
Mathematics
Applied Mathematics
Authors
Carmen Beviá, Luis C. Corchón,