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This state-of-the art collection of papers analyses various aspects of the theory of externalities and public goods. The contributions employ new analytical techniques like the aggregative game approach, and discuss the philosophical underpinnings of the theory. Furthermore, they highlight a range of topical empirical applications including climate policy and counterterrorism. This contributed volume was written in memory of Richard C. Cornes, a pioneer in the theory of externalities and public goods.

The Theory of Externalities and Public Goods: Essays in Memory of Richard C. Cornes

From the Contents: The Lifework of Richard Cornes.- Efficiency in Contests Between Groups.- Multiple-Aggregate Games.- Strategic Coalition Formation in Global Public Good Provision.- Evolution of Consistent Conjectures in Semi-aggregative Representation of Games.- Mixed-Strategy Kant-Nash Equilibrium and Private Contributions to a Public Good.- Social Creation of Pro-social Preferences for Collective Action.- Community Size and Public Goods in Hume's Treatise of Human Nature.- Decentralized Leadership.- Debt Neutrality Without Altruism.- Counterterrorism.- Linguistic Assimilation and Ethno-Religions Conflict.- International Carbon Trade and National Taxes.- Local and Global Externalities, Abatement Technologies and Growth.- Showdown in Schönau.