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Under the assumption of imperfect competition in a durable good industry, the present paper investigates the efficient regulation of solid waste which causes environmental damage at the end of the product's life. It turns out that the second-best waste tax falls short of the marginal...
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In the traditional Cournot model producers influence each other’s decisions through revenue earned in the product market. Rosen (1965) introduced the notion of a coupled constraints equilibrium which allowed players to affect their rivals’ strategy space as well. Krawczyk (2005) applied this...
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We investigate the problem of subsidising afforestation when private information exists with respect to the level of private utility derived from the project. We develop a simple model that allows for an intelligent design of contracts when information is asymmetric. The model involves the...
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The present investigation elaborates on the level of game theory application for the applied and theoretical analyses …, within developing countries. The underutilization of game theory in the context of development studies is not satisfactory … of game theory in a discourse on the following topics: 1. economic growth; 2. climate change mitigation and adaptation …
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