In Collective Action and Exchange: A Game-Theoretic Approach to Contemporary Political Economy, William D. Ferguson presents a comprehensive political economy text aimed at advanced undergraduates in economics and graduate students in the social sciences. The text utilizes collective action as a unifying concept, arguing that collective-action problems lie at the foundation of market success, market failure, economic development, and the motivations for policy. Ferguson draws on information economics, social preference theory, cognition theory, institutional economics, as well as political and policy theory to develop this approach. The text uses classical, evolutionary, and epistemic game theory, along with basic social network analysis, as modeling frameworks. These models effectively bind the ideas presented, generating a coherent theoretic approach to political economy that stresses sometimes overlooked implications.

This book examines how a society that is trapped in stagnation might initiate and sustain economic and political development. In this context, progress requires the reform of existing arrangements, along with the complementary evolution of informal institutions. It involves enhancing state capacity, balancing broad avenues for political input, and limiting concentrated private and public power. This juggling act can only be accomplished by resolving collective-action problems (CAPs), which arise when individuals pursue interests that generate undesirable outcomes for society at large. Merging and extending key perspectives on CAPs, inequality, and development, this book constructs a flexible framework to investigate these complex issues. By probing four basic hypotheses related to knowledge production, distribution, power, and innovation, William D. Ferguson offers an analytical foundation for comparing and evaluating approaches to development policy. Navigating the theoretical terrain that lies between simplistic hierarchies of causality and idiosyncratic case studies, this book promises an analytical lens for examining the interactions between inequality and development. Scholars and researchers across economic development and political economy will find it to be a highly useful guide.

Public choice, an important subdiscipline in the field of political theory, seeks to understand how people and societies make decisions affecting their collective lives. Relying heavily on theoretical models of decision making, public choice postulates that people act in their individual interests in making collective decisions. As it happens, however, reality does not mirror theory, and people often act contrary to what the principal public choice models suggest. In this book, Russell Hardin looks beyond the models to find out why people choose to act together in situations that the models find quite hopeless. He uses three constructs of modern political economy--public goods, the Prisoner's Dilemma, and game theory--to test public choice theories against real world examples of collective action. These include movements important in American society in the past few decades--civil rights, the Vietnam War, women's rights, and environmental concerns. This classic work on public choice will be of interest to theoreticians and graduate students in the fields of public choice, political economy, or political theory--and to those in other disciplines who are concerned with the problem of collective action in social contexts.

The problem of collective action is that each group member wants other members to make necessary sacrifices while he or she 'free rides', reaping the benefits of collective action without doing the work. Therefore, no one does the work and the common interest is not realized. This book analyses the social pressure whereby groups solve the problem of collective action.