We study optimal pollution abatement under a mixed oligopoly game when firms engage in emissions-reducing R&D that is … certain conditions, the optimal pollution tax is positive; otherwise, the tax reverts to a subsidy. Comparing mixed and …

market outcome exhibits inefficient production and inefficient entry. A policy mix of three popular regulatory instruments-taxation … on polluters, feed-in tariffs for clean entrants, and taxation of consumption-cannot correct these two market failures …

complementary taxation of carbon emissions and local air pollution. We quantify results for the European power market until 2050 … taxation can be complementary to a primary policy of air pollution abatement. On the contrary, a primary policy of …. Taxing only air pollution results in social cost of 5,890 billion € and fosters nuclear deployment. Taxing only carbon yields …