Statistics
Divide and conquer: noisy communication in networks, power and wealth distribution
By
Wilson Peréz
(published in
2023-04-12
by
Micaela Herrera
)
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Related countries:
Document:
Published and/or Presented at:
Peréz, Wilson. 2003. Divide and conquer: noisy communication in networks, power and wealth distribution. Working Paper 1-34. Department of Economics, Cornell University. https://repositorio.bce.ec/bitstream/32000/1741/1/net28.pdf.
Link:
https://repositorio.bce.ec/bitstream/32000/1741/1/net28.pdf
Summary:
The political and economic evolution of countries such as Nigeria and Congo challenge the conclusions of Mancur Olson’s (1993, 2000) stationary bandit model. In this paper I argue for the necessity of an alternative model where the balance of political power and the distribution of income are endogenous. Such a model is developed in this paper as a game played between a ruler who has to decide the distribution of income and a group of agents/citizens who can communicate through a network.