Birg, Laura; Voßwinkel, Jan S. - In: European Journal of Law and Economics 51 (2021) 2, pp. 297-345
This paper studies the effect of an emission tax on the relocation decision in a duopoly with vertical product differentiation. We establish the relationship between an exogenous product quality markup, relocation cost, and emission taxation in a two-country-setting for three cases: (a) an...