Do contributions levels matter for endogenous protection or is the existence of a lobby sufficient? Are lobbies’ net benefits from protection identical to their contribution levels, or does the level of protection simply reflect contribution levels of supporters and opponents? We estimate the...

This paper is the first attempt to explore the impact of interest groups and transboundary pollution on the welfare effects of pollution taxes and pollution standards in the framework of strategic environmental policies. The main findings of this paper are as follows. First, without interest...