AMBEC, Stefan; EHLERS, Lars - Centre Interuniversitaire de Recherche en Économie … - 2011
We consider the problem of regulating an economy with environmental pollution. We examine the distributional impact of … her (pollution) emissions. With constant marginal damages we show that regulation via the polluter-pays principle leads to … her pollution impact. We extend both the polluter-pays principle and this result to increasing marginal damages due to …