2007
Mechanism design theory
The Sveriges Riksbank Prize in Economic Sciences 2007 Mechanism design theory provides methods to answer the following general question: What are the best rules of the game, or the best mechanism, for attaining a given objective? These objectives may vary in character: for example social welfare, profit from transactions in a market, a fair allocation…
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Rational Rules
The Sveriges Riksbank Prize in Economic Sciences 2007 Collective decision making frequently involves voting, but voting rules are not always the same. Sometimes a consensus is required, sometimes a simple majority is enough and sometimes a qualified majority is required. In the sphere of economics as well – in markets and in companies – many…
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The Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel for 2007
The Sveriges Riksbank Prize in Economic Sciences 2007 Private information The card player in the picture knows exactly what she has in her hand, information that she does not want to share with her opponents. In the same way, potential buyers are unwilling to reveal to a seller exactly how much they are prepared…
moreQ&A with Eric S. Maskin, October 2007
Interview
Your questions to Eric S. Maskin After the 2007 Nobel Prize announcements, visitors to Nobelprize.org had the possibility to submit questions to the 2007 Nobel Laureates. Here, Eric Maskin, answers a selection of the questions. Question: It seems that regulation theory and applied regulation in general always tries to capture and control some market inefficiency…
moreFurther reading
The Sveriges Riksbank Prize in Economic Sciences 2007 Information about the Prize in Economic Sciences 2007 • Mechanism Design for the Environment, S. Baliga and E. Maskin, Handbook of Environmental Economics, K. Mäler and J. Vincent (ed.), Elsevier Science, Amsterdam, 2003 • The theory of implementation of social choice rules, R. Serrano, SIAM…
moreThe Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel for 2007
The Sveriges Riksbank Prize in Economic Sciences 2007 Environmental protection Designing effective regulations for operations that are harmful for the environment is another area in which mechanism design theory can be applied. Companies often have private information about their profitability and the costs of environmental improvement measures. One general insight is that companies that claim…
moreThe Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel for 2007
The Sveriges Riksbank Prize in Economic Sciences 2007 Collective goods If a collective project, such as a bridge, is to be built, how can we determine that the total benefits provided by the bridge exceed the total cost when various stakeholders have private information about their valuations and also have incentives not to reveal…
moreThe Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel for 2007
The Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel for 2007 The Royal Swedish Academy of Sciences has decided to award the Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel for 2007 jointly to Leonid Hurwicz, Eric S. Maskin and Roger B. Myerson “for having laid the foundations of…
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