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Market-Based Environmental Policies AgEcon
Stavins, Robert N..
Some eighty years ago, economists first proposed the use of corrective taxes to internalize environmental and other externalities. Fifty years later, the portfolio of potential economic-incentive instruments was expanded to include quantity-based mechanisms--tradable permits. Thus, economic-incentive approaches to environmental protection are clearly not a new policy idea, and over the past two decades, they have held varying degrees of prominence in environmental policy discussions. This paper summarizes U.S. experiences with such market-based policy instruments, including: pollution charges; deposit-refund systems; tradable permits; market barrier reductions; and government subsidy reductions. No particular form of government intervention, no individual...
Tipo: Working or Discussion Paper Palavras-chave: Market-based instruments; Pigovian taxes; Tradable permits; Deposit-refund systems; Environmental Economics and Policy; Q28.
Ano: 1998 URL: http://purl.umn.edu/10506
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Certification as a Rationale for Voluntary Agreements AgEcon
Gonzalez, Patrick.
I model the participation of firms in a voluntary agreement as a costly certification process whereby a firm informs the Regulator of its pollution intensity. Without this knowledge, the Regulator imposes the same tax on all firms in a heterogeneous industry, unduly hurting the clean ones with the lowest intensity. Certification allows clean firms to get a tax rebate. It also entails an informational externality as the dispersion of types decreases within the pool of non-participating firms, following an unraveling process. Because participation is a firm’s private decision, there is such a thing as a bad voluntary agreement.
Tipo: Working or Discussion Paper Palavras-chave: Certification; Voluntary agreements; Pigovian taxes; Pollution; Environmental Economics and Policy; L51; Q53; Q58.
Ano: 2011 URL: http://purl.umn.edu/117827
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