Publication: Rational Sabotage in Cooperative Production with Heterogeneous Agents
Loading...
Identifiers
Publication date
2006
Defense date
Authors
Advisors
Tutors
Journal Title
Journal ISSN
Volume Title
Publisher
Berkeley Electronic Press
Abstract
We present a model of cooperative production in which rational agents might carry out sabotage activities that decrease output. We provide necessary and sufficient conditions for the existence of a Nash equilibrium without sabotage. It is shown that the absence of sabotage in equilibrium
depends on the interplay between technology, relative productivity of agents and the degree of meritocracy. In particular we show that, ceteris paribus, meritocratic systems give more incentives to sabotage than egalitarian systems.
Description
Keywords
coorperative production, sharing rules, sabotage
Bibliographic citation
The B.E. Journals in Theoretical Economics: Topics. 2006, vol. 6, nº 1, art. 16