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Direct Democracy EXample of Lindahl's procedure Equilibrium: set of Lindahl prices such that each person votes for the same quantity of the public good In Figure 6.1, this occurs at quantity r and each persons share is measured on theⅹ-axis8 Direct Democracy: Example of Lindahl’s procedure • Equilibrium: set of Lindahl prices such that each person votes for the same quantity of the public good. • In Figure 6.1, this occurs at quantity r* , and each person’s share is measured on the x-axis
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