This paper examines the determinants of bilateral environmental aid to mitigate climate change, using an empirically testable multilateral framework in which both donors and recipient countries compete in world export markets. Potential donors tend to behave strategically, weighing environmental...

"Laboratory experiments have generally supported the fundamental theorem that, in classical property rights environments, noncooperative behavior in large group markets yields efficient social outcomes. Experiments, however, regularly fail to support the game theoretic prediction of...