externality by lowering contributions when outsiders are negatively affected. Remarkably, voting does not increase contributions … when it would be most desirable, i.e. with a positive externality. Here, participants vote for high contributions, yet …

competition and a negative externality. The decision-maker uses an emission standard or an emission tax, whose revenue is recycled …

trading scheme suffers numerous problems, but the issues raised show taxes can also be watered down and made ineffectual … percent renewable energy within a decade. We explore the difficulties of implementing meaningful greenhouse gas taxes in …

tension between altruism and "crowding-out" effects (players' efforts are strategic substitutes). We find that more altruistic …

pay attention to both direct and indirect welfare effects. As a concrete proposal a redesign of consumption taxes is …

externality. In the special case of rational expectations, each consumer accepts full responsibility for his contribution to the … externality. A first-best optimum is then achieved by a form of Pigouvian pricing, assuming unconstrained income taxes …/transfers. Otherwise, Pigouvian pricing is second-best, unless individuals disclaim all responsibility for the externality and utility has …