Our analysis focuses on a novel theoretical model which explains the relationship between pollution and output as well as recycling and output in the context of the Environmental Kuznets Curve (EKC) framework. Our model incorporates habit formation on recycling in a circular economy model and we...

This paper examines the application of quasi-experimental methods in environmental economics. We begin with two observations: (i) standard quasi-experimental methods, first applied in other microeconomic fields, typically assume unit-level treatments that do not spill over across units; (ii)...

Within the field of environmental economics, the role of technological change has received much attention. The long-term nature of many environmental problems, such as climate change, makes understanding the evolution of technology an important part of projecting future impacts. Moreover, in...

We study how spillovers from water pollution cleanup in the Ganges affect social welfare in an aggregate economy consisting of Kanpur and Varanasi, two cities through which this river flows. We view pollution cleanup in both cities as a local public good and point out that, if Kanpur cleans up...

Integrated Assessment Models (IAMs) couple representations of the natural climate system with models of the global economy to evaluate climate and energy policies. Such models are currently used to derive the benefits of carbon mitigation policies through estimates of the social cost of carbon...

The world currently stands witness to increasing energy demand mainly because of population growth and improvements in the standard of living. This causes highly negative environmental constraints since energy production, especially from conventional energy sources, is a very intense polluter....

Conservation payment schemes, typically spatially homogenous, are widely used to induce biodiversity-friendly land use. They can also address habitat fragmentation if a bonus is added to the homogenous base payment when conservation measures are implemented next to other conserved lands....

This paper analyzes the interaction between two political economy decisions by a government: whether to privatize a public firm and what environmental policy to choose (an environmental tax or an emission standard). We find that when market competition is weak the government does not privatize...