Showing 1 - 10 of 360
We study optimal pollution abatement under a mixed oligopoly game when firms engage in emissions-reducing R&D that is imperfectly appropriable. The regulator uses a tax to curb emissions. Results show that in a mixed oligopoly, the public firm has positive emissions reduction in equilibrium;...
Persistent link: https://www.econbiz.de/10012921210
This paper examines the consequences of an increase in the expected fine for non-compliance with an environmental design standard for an industry with Cournot competition and free entry. Our analysis is quite timely, given recent policy proposals to raise environmental fines. We describe the...
Persistent link: https://www.econbiz.de/10009791642
We study optimal pollution abatement under a mixed oligopoly game when firms engage in emissions-reducing R&D that is imperfectly appropriable. The regulator uses a tax to curb emissions. Results show that in a mixed oligopoly, the public firm has positive emissions reduction in equilibrium;...
Persistent link: https://www.econbiz.de/10011800081
It is widely accepted that one of the most important characteristics of an effective pollution control policy is to provide firms with credible incentives to make long-run investments in R&D that can drastically reduce pollution. Recognizing that a government may be tempted to revise its policy...
Persistent link: https://www.econbiz.de/10011039667
This paper evaluates the effects of the lack of regulatory commitment on emission tax applied by the regulator, abatement effort made by the monopoly and social welfare comparing two alternative policy games. The first game assumes that the regulator commits to an ex-ante level of the emission...
Persistent link: https://www.econbiz.de/10012968268
This paper evaluates the effects of the lack of regulatory commitment on emission tax applied by the regulator, abatement effort made by the monopoly and social welfare comparing two alternative policy games. The first game assumes that the regulator commits to an ex-ante level of the emission...
Persistent link: https://www.econbiz.de/10011547525
Politicians and international organisations advocate for increased regulation and government control of industry in order to handle climate change and reduce overall greenhouse gas emissions. However, it remains an open question how economic freedom is associated with environmental damage and...
Persistent link: https://www.econbiz.de/10012204004
We consider a model of horizontal product differentiation between two firms where locations are identified with eco-quality. The duopolists face spillover effects and locations are determined endogenously through R&D investments. We examine the resulting equilibrium locations when consumers...
Persistent link: https://www.econbiz.de/10012933071
We explore the role of public subsidies in mitigating the transition risk associated with a climate-neutral objective by 2060. We develop and estimate an environmental dynamic stochastic general equilibrium model for the world economy featuring an endogenous market structure for green products....
Persistent link: https://www.econbiz.de/10013202810
Many countries have pledged targets or actions to reduce greenhouse gas emissions; these have been listed in the Appendices to the Copenhagen Accord and, at the time of writing, are being transferred to the UNFCCC Cancún Agreements. This analysis examines the costs and effectiveness of these...
Persistent link: https://www.econbiz.de/10014181599