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We develop a simple model of managing a system subject to pollution damage under risk of an abrupt and random jump in …
Persistent link: https://www.econbiz.de/10010280838
Persistent link: https://www.econbiz.de/10011295103
We consider a simple dynamic model of environmental taxation that exhibits time inconsistency. There are two categories of firms, Believers, who take the tax announcements made by the Regulator to face value, and Non-Believers, who perfectly anticipate the Regulator's decisions, albeit at a...
Persistent link: https://www.econbiz.de/10011325007
In this paper, we consider a problem in environmental policy design by applying optimal stopping rules. The purpose of this paper is to analyze the optimal timings at which the government should adopt environmental policies to deal with increases in greenhouse gas concentrations and to reduce...
Persistent link: https://www.econbiz.de/10010332424
The purpose of the paper is to narrow the gap between the widespread use of voluntary agreements and research on the rationale of such approaches. A typical example are voluntary agreements of many industries to reduce carbon dioxide emissions because of global warming. If the industry...
Persistent link: https://www.econbiz.de/10011608503
The standard framework in which economists evaluate environmental policies is cost-benefit analysis, so policy debates usually focus on the expected flows of costs and benefits, or on the choice of discount rate. But this can be misleading when there is uncertainty over future outcomes, when...
Persistent link: https://www.econbiz.de/10011608569
-firm pollution alleviate the tendency of firms to delocate into the region with the weaker regulation; then, a deregulatory race to …
Persistent link: https://www.econbiz.de/10010319313
We analyze the formation of environmental policy to regulate transboundary pollution if governments are self … be too high if environmental interests and pollution-intensity of production are very strong; under different …
Persistent link: https://www.econbiz.de/10010286619
Candidates compete to persuade a decision maker. The decision maker wishes to select a candidate who possesses a certain ability. Then, as a signaling, each candidate decides whether to perform a task whose performance statistically reflects the ability. However, since the cost of the...
Persistent link: https://www.econbiz.de/10010281680
In this paper we study international river pollution problems. We introduce a model in which the agents (countries …) located along a river derive benefit while causing pollution, but also incur environmental costs of experiencing pollution … from all upstream agents. We find that total pollution in the model decreases when the agents decide to cooperate. The …
Persistent link: https://www.econbiz.de/10010326271