Mackenzie, Ian A.; Hanley, Nick; Kornienko, Tatiana - 2008
-order contests; pollution permits; initial allocation
JEL Classi�cation: D44; Q25
1 Introduction
The fundamental idea behind … attempt at implementing a rank-order contest
as a mechanism for the initial allocation of pollution permits. This, then, is … allocates the pollution permits to the market and in the second stage, �rms
are allowed to trade the pollution permits obtained …