2017
DOI: 10.1016/j.geb.2017.05.006
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Efficient voting with penalties

Abstract: Simple majority does not reflect the intensity of voters' preferences. This paper presents an efficient collective choice mechanism when the choice is binary and the designer may use non-trasferable punishments to persuade agents to reveal their private information. The designer faces a dilemma -a punishment may induce a more correct choice, but its cost is socially wasteful. The efficient mechanism is a weighted majority. Weight of each individual is known ex ante and no punishments applied if preferences are… Show more

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Cited by 4 publications
(3 citation statements)
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References 34 publications
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“…The considerable variation in the design of voting rules in real-world institutions suggests that rules are-at least to some extent-tailored to different environments. 38 As far as the commonly used linear rules-qualified majority rules and one-sided linear rules-are concerned, their use is consistent with our result that a 37 See also Kwiek (2017). 38 As a case in point, many decision-making bodies use different rules to decide on different issues.…”
Section: Resultssupporting
confidence: 69%
“…The considerable variation in the design of voting rules in real-world institutions suggests that rules are-at least to some extent-tailored to different environments. 38 As far as the commonly used linear rules-qualified majority rules and one-sided linear rules-are concerned, their use is consistent with our result that a 37 See also Kwiek (2017). 38 As a case in point, many decision-making bodies use different rules to decide on different issues.…”
Section: Resultssupporting
confidence: 69%
“…Moreover, even if the time preference is asymmetric only ex post, there may be welfare effects of its magnitude. A more detailed discussion of this prospect, along with a possible model formulation, are in Kwiek (2014), Kwiek (2017). In our experiments, the waiting cost is expressed in monetary terms and-to the extent that this monetary payment fully captures time preferences-it is symmetric.…”
Section: Theory: Environment Mechanism and Some Resultsmentioning
confidence: 99%
“…If any general incentive compatible mechanism could be used, then a vast mechanism-design literature provides a number of results; for example, a Vickrey-Clarke-Groves mechanism achieves efficient outcome in dominant strategies, when the welfare criterion is allocative efficiency or when transfers are allowed (Vickrey, 1961;Clarke, 1971;Groves, 1973). Kwiek (2017) studies a general class of voting games without transfers but with penalties, to which our game belongs.…”
Section: Literaturementioning
confidence: 99%