Espinola-Arredondo, Ana; Liu, Boying - School of Economic Sciences, Washington State University - 2014
This paper investigates conditions under which the regulator can strate- gically set an emission fee as a tool to induce Örms to adopt a green tech- nology and, also, promote (or hinder) entry deterrence. We consider a market in which a monopolistic incumbent faces the threat of entry, and...