Subscription Equilibria with Public Production: Existence and Regularity

Abstract:     
We revisit the analysis of subscription equilibria in a full fledged general equilibrium model with public goods. We study the case of a nonprofit, or public, firm that produces the public good using private goods as inputs, which are to be financed by voluntary contributions (subscriptions) of households. We prove existence and generic regularity of subscription equilibria.

Number of Pages in PDF File: 24

Keywords: general equilibrium, public goods, subscription equilibrium, existence, generic regularity

JEL Classification: D51, H41

Accepted Paper Series