This paper examines the political difficulty of enacting welfare-enhancing environmental taxes. Using referenda in a market experiment with externalities, we investigate the effect of trial periods on the acceptability of two theoretically equivalent Pigouvian tax schemes. While implementing...

Tax-aversion reduces the likelihood that price rationing can be a politically viable tool for environmental protection. We examine the case of the classic Pigouvian tax to control a negative externality, and consider how recycling the revenues, labeling of the tax and information about its...

Experimental studies have compared cooperation across different nonmarket social dilemma settings, but the experimental literature has largely overlooked comparing cooperation across market and nonmarket settings. This paper reports the results from an experiment that compares behavior in...