Every government that controls an exhaustible resource must decide whether to exploit it or to conserve and thereby let the subsequent government decide whether to exploit or conserve. This paper develops a theory of this situation and shows when a small probability that some future government...

This study uses the methods of experimental economics to investigate possible reasons for the lack of empirical support for the Hotelling rule for nonrenewable resources. We argue that as long as resource stocks are large enough, producers may choose to (partially) ignore the dynamic component...

This paper proposes that transboundary water governance needs to become an essential input to sustainable governance of protected natural reserves. The paper reviews the challenges and opportunities for such governance mechanisms, and identifies the factors behind successful practices....

Tackling climate change is one of the highest challenges which the world economy is currently facing. The European Green Deal, adopted in 2019, sets the European roadmap towards a net-zero greenhouse gas emissions economy. The food system is heavily responsible for greenhouse gas emissions and...

We propose a new methodology exploring Markov perfect equilibrium strategies in differential games with regime switching. Specifically, we develop a general game with two players having two kinds of strategies. Players choose an action that influences the evolution of a state variable, and...