Data/hora: 16/06/2024 11:42:19

Provedor de dados: | 31
País: | United States
Título: | Bankruptcy Risk and the Performance of Tradable Permit Markets
Autores: | Stranlund,   John K.; Zhang,   Wei.
Data: | 2008-02-22
Ano: | 2007
Palavras-chave: | Bankruptcy; Tradable permits; Permit markets; Environmental Economics and Policy; L51; Q28; Q58.
Resumo: | We study the impact of bankruptcy risk on markets for tradable environmental and natural resource permits. We find that firms that risk bankruptcy demand more permits than if they were financially secure. Consequently, bankruptcy risk in a competitive market for tradable property rights causes an inefficient distribution of individual choices among regulated firms. Moreover, the equilibrium distribution of permits is not independent of the initial distribution of permits. In fact, the inefficiency that is associated with bankruptcy risk is mitigated if financially insecure firms are given a larger share of the initial allocation of permits.
Tipo: | Working or Discussion Paper
Idioma: | Inglês

Identificador:

28057

http://purl.umn.edu/7384

Relação:

University of Massachusetts, Amherst&gt;Department of Resource Economics&gt;Working Paper Series

ResEc Working Paper

2007-9

Formato: | 20