The paper aims to analyze the problem of regulating a pollution-generating single product monopolistic firm in the presence of information asymmetry about the firm?s cost performance. Following Boyer and Laffont (1999), incentive-based optimal regulation of the firm?s price/ output and the...

The paper re-examines the hypothesis: free movement of capital from capital-rich Northern" to capital-poor Southern" countries worsens the global environment. Assuming that national governments regulate the pollution level optimally, by trading-o? the marginal beneit of pollution against its...

We examine human capital's contribution to economy-wide technological progress through two channels { im- itation and innovation} innovation being more skilled-intensive than innovation. We develop a growth model considering an endogenous ability-driven skill acquisition decision of an...

Purpose – The purpose of the paper is to examine the interdependencies between trade and environment policies, as they get jointly determined in a political-economy model of a small open economy. In theoretical literature, government is usually modeled as benevolent. In real economies,...

The article utilises a model of endogenous growth with vertical innovation (á la Aghion–Howitt) to examine how the inclusion of a production-related pollution externality affects the prospect for long-run growth of a closed economy. It is derived that the social optimum exhibits the...

The paper utilizes a model of endogenous growth with vertical innovation (´a la Aghion-Howitt) to examine how the inclusion of a production related pollution externality affects the prospect for long-run growth of a closed economy. It is derived that the social optimum exhibits the...

Global warming caused by accumulation of emissions of greenhouse gases (GHGs) is a public bad, addressing which requires collective action by all the countries of the world. Under the United Nations Convention on Climate Change (UNFCCC), most countries have negotiated the Kyoto Protocol for GHG...

We examine human capital's contribution to economy-wide technological progress through two channels – imitation and innovation – innovation being more skill-intensive than imitation. We develop a growth model based on the endogenous ability-driven skill acquisition decision of an individual....