The main result of this paper is that when two asymmetric regions compete in pollution taxes to attract a polluting firm, optimal location will happen under complete information but not necessarily under incomplete information. It is shown that incomplete information on regions' pollution costs...

In this paper, we examine how strategic interactions affect airline network. We develop a three stage duopoly game: at stage 1 airlines determines their network structure (linear versus hub-and-spoke). At stage 2 they decide on their capacities, and at stage 3 firms compete in quantities. The...

The Clean Air Act Amendments (CAAA) of 1990 will have a major impact on U.S. coal markets. We argue that coal suppliers will be able to use the market in sulfur dioxide emissions allowances created by the CAAA to increase the range of their competitive strategies in their core business, coal.