Chao, Chi-Chur; Kerkvliet, Joe R; Yu, Eden S H - In: Review of Development Economics 4 (2000) 1, pp. 39-50
This paper develops a general equilibrium model to examine the optimal level of environmental preservation in terms of its costs and benefits for a closed as well as an open economy. The optimal preservation policy for a closed economy is to tax the general population and use the tax revenue to...