The paper studies the use of emission taxes and feed-in subsidies for the regulation of a monopoly that can produce the … output but does not affect the total output. On the other hand, the subsidy leads to the monopoly to reduce the dirty output … same good with a technology that employs a polluting input and a clean technology. The second-best tax and subsidy are …

The paper studies the use of emission taxes and feed-in subsidies for the regulation of a monopoly that can produce the … output but does not affect the total output. On the other hand, the subsidy leads to the monopoly to reduce the dirty output … same good with a technology that employs a polluting input and a clean technology. The second-best tax and subsidy are …

, abatement effort made by the monopoly and social welfare comparing two alternative policy games. The first game assumes that the … larger steady-state pollution stock. Moreover, the increase of environmental damages because of the increase in the pollution …

We develop a dynamic regulation game for a stock externality under asymmetric information and future market uncertainty …. Within this framework, regulation is characterized as the implementation of a welfare-maximization program conditional on …-consistent policy rules that implement the stochastic first best as long as a future market exists. We apply our theory to carbon …

interplay between pollution and resource extraction is then given using a differential game based on the Cournot oligopoly model …

reductions in external damages are health benefits, highlighting the importance of accounting for co-pollution impacts of carbon …