When choosing his speed, a driver faces a trade-off between private benefits (time savings) and private costs (fuel cost and own damage and injury). Driving faster also has external costs (pollution, adverse health impacts and injury to other drivers). This paper uses large-scale speed limit...

Voluntary emissions offset programs between developing and industrialized countries suffer from adverse selection, because participants will self-select into the program. In contrast, pure subsidies for mitigation lead to full participation and hence efficiency, but require large financial...