We evaluate the relationship between competition and innovation in an industry where production is polluting and R&D has the aim to reduce emissions. We build up an oligopoly model where n firms compete in quantities and decide their investment in green R&D. When environmental taxation is...

The paper proves that in two-player logit form symmetric contests with concave success function, commitment to a particular strategy does not increase a player's payoff, while in contests with more than two players it does. The paper also provides a contest-like game in which commitment does not...

This paper compares emissions trading based on a cap on total emissions (permit trading) and on relative standards per unit of output (credit trading). Two types of market structure are considered: perfect competition and Cournot oligopoly. The e?ect of combining the two schemes is also...