Bertinelli, Luisito; Camacho, Carmen; Zou, Benteng - Centre de Recherche en Économie Appliquée (CREA), … - 2011
We study the strategic behavior of two countries facing transboundary pollution under a differential game setting. In our model, the reduction of both pollution and CO2 concentration occur through the creation of pollution sinks, rather than through the adoption of cleaner technologies. To our...