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In this paper we analyse a setup where consumers are heterogeneous in the perception of environmental quality. The equilibrium is verified in a setting with horizontal and vertical (green) differentiation. Profits are increasing in the misperception of quality, while, the investment in green...
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conventional pollution tax. The second is an environmental campaign aiming to influence consumers to switch to a green good. We … consider two different scenarios. When consumers are characterized by hedonic quality preferences, in this case the pollution … are cases in which the campaign is preferred. To sum up, while both policy instruments are effective in reducing pollution …
Persistent link: https://www.econbiz.de/10011730843
This paper studies the interaction of environmental policy and green preferences under potential firm relocation. A green firm and a brown firm choose the environ- mental quality of their products. Both an emission tax and consumers' willingness to pay for green products encourage investment in...
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calculate elasticities and to simulate the effects of alternative pollution control policies such as taxes on gasoline, distance …
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reinforces the negative consequences of the spillover-effect. We show that the externalities in the model require corrections …
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reinforces the negative consequences of the spillover-effect. We show that the externalities in the model require corrections …
Persistent link: https://www.econbiz.de/10010343758
that includes external costs from greenhouse gas emissions (or other negative externalities). This paper provides a novel …
Persistent link: https://www.econbiz.de/10015272125