Download or read book Cooperation, Emergence of the Economic Agency Role of Government, and Governance written by Mr.Omotunde E. G. Johnson and published by International Monetary Fund. This book was released on 1997-11-01 with total page 45 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper focuses on the emergence of the economic agency role of government and its relationship with cooperation and economic management. It distinguishes emergence under war, domination or capitulation, perfect cooperation, and strategic bargaining. Good governance is a consequence of constraints designed by principals with the incentive and ability to do so. The incentives are related inversely to the expected relative frequency of controlling government and directly to the expected relative share of costs of poor agency. The ability is directly related to bargaining power in determining the agency role. There are implications for the evolution of cooperation in the society and for macroeconomic performance.