Soc Choice Welfare (1987) 4:117-131
S0cial Ch0ice
.dWelfare
© Springer-Verlag 1987
A Group Majority Voting Model of Public Good Provision*
R. B. Morton
Department of Economics and Finance, Nicholls State University, P:O. Box 2015, Thibodaux,
LA 70310, USA
Received February 13, 1986/AcceptedDecember26, 1986
Abstract. A model of public good provision by majority rule selection
incorporating the behavior of rational group voting is formulated. Two
probability maximizing candidates are assumed. If voters are risk averse in
public sector preferences, then a unique symmetric (both candidates offering
identical platforms) equilibrium exists. If certain additional conditions hold on
the group cost functions of political support, this equilibrium will lie at the
public good level which maximizes the sum of voter utility. It is further
demonstrated that it is unlikely for those conditions to be satisfied and therefore
more realistic asymmetric equilibria with positive voter turnout is predicted:
A. Introduction
As Ledyard (1984) has pointed out, one of the tasks public choice theorists have
attempted to accomplish is the building of a theory of majority rule selection of
public good provision which is based upon rational behavior and is non-vacuous.
He notes that two voting paradoxes have generally stood in the way of the
development of such a theoretical framework: 1) the instability of the pure majority
rule system (PMR) and 2) the lack of a rational individual level explanation for
voter turnout and choice. Both paradoxes strike at the heart of any rigorous attempt
to model majority rule choice of public good levels from an "economic" approach.
Equilibrium analysis is the primary tool used by economists for explanation and
prediction of events. It is considered by some researchers the characteristic of
economics which distinguishes it from all other social sciences. [See Riker (1980) for
example:] Equilibria are used to compare allocation systems in terms of efficiency
and welfare maximization. Is it possible for the majority rule allocation of public
* This paper is based on an essay of a dissertation submitted to Tulane University under the
supervisionand invaluableassistanceof StevenSlutsky,Jonathan Hamilton,and WilliamOakland. The
adviceof Gerald Whitney,MichaelJohnson,and an anonymous referee is also gratefully acknowledged:
All errors remain the authors.