On optimal community formations

Elhanan Helpman*

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review


It is shown that in an economy of identical individuals in which there are two communities with identical ex-ante features, optimal resource allocation may require to form communities of different size. This allocation cannot be supported without federal coordination, except for one special case.

Original languageEnglish
Pages (from-to)289-293
Number of pages5
JournalEconomics Letters
Issue number3
StatePublished - 1978


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