This paper incorporates hierarchical structure into the neoclassical theory of the firm. Firms are hierarchical in two respects: the organization of workers in production and the wage structure. The firm's hierarchy is represented as a sector of a circle, where the radius represents the...

This paper incorporates hierarchical structure into the neoclassical theory of the firm. Firms are hierarchical in two respects: the organization of workers in production and the wage structure. The firm’s hierarchy is represented as the sector of a circle, where the radius represents the...

The effectiveness of SO{sub 2} emission allowance trading under Title 4 of the 1990 Amendments to the Clean Air Act (CAA) is of great interest due to the innovative nature of this market incentive approach. However, it may be a mistake to frame the compliance problem for a utility as a decision...

This paper deals with the market for SO{sub 2} emission allowances over time and electric utility compliance choices. For currently high emitting plants ( 2.5 lb SO{sub 2}/MMBtu), the 1990 Clean Air Act Amendments (CAAA) provide for about twice as many SO{sub 2} allowances to be issued per year...

This report provides background information for the Bonneville Power Administration (Bonneville) in its efforts to quantify the environmental externalities associated with new electricity resources. A more detailed companion document has been provided to Bonneville for internal use. This report...

Concentrations of environmental pollutants tend to follow positively skewed frequency distributions. Two such density functions are the gamma and lognormal. Minimum variance unbiased estimators of the expected value for both densities are available. The small sample statistical properties of...

This paper focuses on how electric utility companies can respond in their decision making to uncertain variables. Here we take a mean- variance type of approach. The mean'' value is an expected cost, on a discounted value basis. We assume that management has risk preferences incorporating a...

Claims of property value loss are commonly raised by homeowners when noxious facilities are sited or when new information about the hazards of existing facilities is made public. While the capitalization of externalities into land values is consistent with economic theory, empirical measurement...