A basic issue in transboundary fishery management is the new member problem. In this paper we address the problem of allocating the profits between the charter members and the entrants, once the nations concerned have expressed an interest in achieving an agreement.Using game theory we argue...

Abstract: This paper shows that, if countries are farsighted when deciding whether to defect from a coalition, then the implementation of cleaner technologies may jeopardize the chances of reaching an international environmental agreement. The grand coalition may be destabilized by the...

Abstract: We summarize and review the literature on two types of economic experiments. First we discuss the use of experimental laboratories to testbed market solutions to issues in environmental policy. We concentrate on experiments with one and two-sided markets, and applications in the domain...

Production often causes pollution as a by-product.Once pollution problems become too severe, regulation is introduced by political authorities which forces the economy to make a transition to cleaner production processes.We model this transition as a change in "general purpose technology" (GPT)...

In the absence of a successful international cooperative agreement over the control of emissions there is a growing interest in the role that clean technologies may play to alleviate the climate change problem. Within a non-cooperative transboundary pollution game, we investigate, analytically...

In different treatments of an intergenerational common resource experiment, monetary payoff maximization by each generation causes either negative or positive externalities for future generations.Two behavioral types have been observed previously in single generation games: equity motivated...

We introduce an accurate, easily implementable, and fast algorithm to compute optimal decisions in discrete-time long-horizon welfaremaximizing problems. The algorithm is useful when interest is only in the decisions up to period T, where T is small. It relies on a flexible parametrization of...