In this paper we set up an oligopolistic market model, where firms invest in pollution abatement in order to increase the whole market size via an increase in the consumers’ reservation price. Moreover, we suppose that the demand function is not a linear one and the resulting game is not a...

The 1990 Canadian long-range transport of air pollutants and acid deposition report divided North America into 40 sources of emission and 15 sensitive receptor sites. For the purpose of national policy making and international negotiation, the use of these large sources and few receptors may...

Electric and natural gas are the two major sources of energy for residents of Washington State. Several states have adopted a policy whereby utility companies decide on the choice of mixes of resources by incorporating cost effectiveness, conservation and externalities. Externalities could...

This article shows that in the presence of environmental externalities, it may be welfare enhancing to overcome a technological lock-in by a dead- end technology through governmental intervention. It is socially desirable to subsidize a dead-end technology if its environmental externality is...

This paper presents the results of an empirical study of the Indian Poultry Industry which is specially focused on the social and environmental outcomes generated by the rapidly increasing scale of egg and broiler production in India. Among the effects of these rapid changes that occurred in the...

This paper presents a model which takes into account two main factors that have been partially neglected by the economic development literature: the environmental externalities of human activities and agents' heterogeneity in terms of asset endowment and, consequently, in terms of income source...

Total factor productivity growth (TFPG) has been traditionally associated with technological change. We show that when a factor of production, such as energy, generates an environmental externality in the form of CO₂ emissions which is not internalized because of lack of environmental policy,...

The main focus of this paper is twofold. First is to design Pigouvian taxes for different kinds of environmental external effects on the market economy in order to be possible to say what is the relevant information in each situation. Second is to address the question of the welfare effects of...

We analyze an overlapping generations model where individuals’ welfare depends on the stock of a free access environmental good E and on the consumption C of a private good. We assume that the production process of the private good depletes the natural resource but that specific investments...

This theoretical note examines the usefulness of the Pigouvian tax policy in dealing with negative production externalities and in improving social welfare in a small developing economy. A two-sector, full-employment general equilibrium model with exogenous labour market imperfection is used for...