Showing 31 - 40 of 497
The successor to the Kyoto Protocol should impose national ceilings on rich countries’ greenhouse gas emissions and promote voluntary abatement by developing countries. Our proposal gives signatories the option of exercising an escape clause that relaxes their requirement to abate. This...
Persistent link: https://www.econbiz.de/10011130799
If a regulator is unable to measure firms’ individual emissions, an ambient tax can be used to achieve the socially desired level of pollution. With this tax, each firm pays a unit tax on aggregate emissions. In order for the tax to be effective,firms must recognize that their decisions...
Persistent link: https://www.econbiz.de/10011130800
Non-strategic firms with rational expectations make investment and emissions decisions. The investment rule depends on firms’ beliefs about future emissions policies. We compare emissions taxes and quotas when the (strategic) regulator and (nonstrategic) firms have asymmetric information...
Persistent link: https://www.econbiz.de/10011130807
NAFTA’s investment treaty has led to several expropriation compensation claims from investors hurt by new environmental regulations. Expropriation clauses in international treaties solve post-investment moral hazard problems such as hold-ups. However, these clauses can interact with...
Persistent link: https://www.econbiz.de/10011130808
We study a dynamic regulation model where firms’ actions contribute to a stock externality. The regulator and firms have asymmetric information about serially correlated abatement costs. With price-based policies such as taxes, or if firms trade quotas efficiently, the regulator learns...
Persistent link: https://www.econbiz.de/10011130810
We model adjustment costs in a general equilibrium setting using a “transport sectorâ€. This sector provides services needed to re-allocate a factor of production across wo other sectors. A market imperfection in the transport sector causes adjustment to occur too slowly in the absence...
Persistent link: https://www.econbiz.de/10011130825
Disagreement over the form of regulation of greenhouse gasses motivates a comparison of market based and command and control policies. More efficient policies can increase aggregate marginal abatement cost, resulting in higher emissions. Multiple investment equilibria and “regulatory...
Persistent link: https://www.econbiz.de/10011130833
We imbed a classic fishery model, where the optimal policy follows a Most Rapid Approach Path to a steady state, into an overlapping generations setting. The current generation discounts future generations’ utility flows at a rate possibly different from the pure rate of time preference...
Persistent link: https://www.econbiz.de/10011130834
A dynamic model of capital structure for the noncoiporate farm is developed and analyzed. In this model. the probability of bankruptcy increases as the farmer's debt/asset ratio increases. Funds invested outside agriculture earn a risldess rate of return. The farmer/proprietor is also able to...
Persistent link: https://www.econbiz.de/10011167831
Optimal agricultural distortions are calculated, taking as given distortions in the nonagricultural sector. The calculations use a general equilibrium model and assume that the sole criterion is economic efficiency. For most agricultural commodities, existing distortions should be decreased; for...
Persistent link: https://www.econbiz.de/10011167852