We analyze the formation of environmental policy to regulate transboundary pollution if governments are self-interested. In a common agency framework, we portray the environmental policy calculus of two political supportmaximizing governments that are in a situation of strategic interaction with...

We analyze the formation of environmental policy to regulate transboundary pollution if governments are self-interested. In a common agency framework, we portray the environmental policy calculus of two political supportmaximizing governments that are in a situation of strategic interaction with...

This dissertation deals with two different aspects of environmental policies in a globalized world. First, the impact of exogenous environmental regulations on a domestic polluting sector's international competitiveness is investigated. The applied model framework considers the government's...