The aim of this paper is to present an alternative methodology for discounting far distant future externalities genereted by an investment project: time-declining discount rates. First I present the experimental evidence on individuals' time-inconsistency. Second I consider the theoretical...

The use of environmental policy instruments such as eco-labelling and pesticide taxes should preferably be based on disaggregate estimates of the individuals' willingness to pay (WTP) for pesticide risk reductions. We review the empirical valuation literature dealing with pesticide risk exposure...

This paper analyses whether different emissions trading regimes provide different incentives to participate in a cooperative climate agreement. Different incentive structures are discussed for those countries, namely the US, Russia and China, that are most important in the climate negotiation...

The Kyoto Protocol on climate change allocates tradable quotas to developed countries, but let them free to choose the means to respect their quota. There are good reasons for a country not to control its firms through internationally tradable permits. We thus compare a tax and purely domestic...

In the paper we propose an to evaluation of the environmental effects of consumption activities. The approach consists of two steps, namely (1) assignment of environmental effects to consumption activities, for which we propose to use the methods of (multidimensional) cost sharing, and (2) a...

A number of recent papers have found that certain measures of pollution worsen and later improve as income per head increases. It is widely believed that the downhill portion of this inverted-U curve reflects an induced policy response; that, as incomes rise, citizens demand improvements in...