ESCP Europe

This book presents a theoretical treatment of externalities (i.e., uncompensated interdependencies), public goods, and club goods. It expands the discussion of their implications, coverage of asymmetric information, underlying game-theoretic formulations, and intuitive and graphic presentations. Topics investigated include Nash equilibrium, Lindahl equilibria, club theory, the preference-revelation mechanism, Pigouvian taxes, the commons, the Coase theorem, and static and repeated games.