Bárcena-Ruiz, Juan Carlos; Garzón, María Begoña - In: Spanish Economic Review 4 (2002) 4, pp. 301-309
This paper analyzes a managerial delegation model in which the government chooses an environmental tax to control environmental damage. By giving the managers of firms an incentive scheme based on a linear combination of profit and sales revenue, we show that firm owners have to pay a higher...