Re: Optimal allocation of public goods

From: Bret Kulakovich (bret@bonfireproductions.com)
Date: Wed Mar 12 2003 - 16:26:36 MST

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    Hal Finney Wrote:
    >I wanted to explain and comment on the paper by Groves and Ledyard
    >that I mentioned in another thread, Optimal Allocation of Public
    >Goods (http://www.finney.org/~hal/GrovesLedyard.pdf, temporarily).

    First off, your explanation was wonderfully successful. I don't think
    I've ever grasped anything about economic theory quite as quickly
    ever. Didn't even have to read it twice.

    It reminds me of a the elegant simplicity that Robert Heinlein had
    for property tax: You file the value of your property at the local
    town hall. You pay the property tax that is based on what you say
    your property is worth. At any time someone can buy the property at
    the price you named, and you have to accept the offer. Period. Well I
    probably mangled that but I'm sure someone will correct me.

    Anyhow, you've begged the question: No one wants to spend for
    defence, so little is spent on defense. The next war comes around and
    - oh wait, there isn't a war - the first exobrate that showed up with
    a sharpened pencil took over the country.

    Is this where some self-protection subroutines kick in?

    Bret Kulakovich



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