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The Effects of Vintage-Differentiated Environmental Regulation AgEcon
Stavins, Robert N..
Vintage-differentiated regulations (VDRs) are standards that are fixed with respect to the date of entry of regulated units, with later vintages facing more stringent standards. VDRs play prominent roles under major Federal, state, and local environmental laws. This paper synthesizes what is known about the effects of environmental VDRs, and develops lessons for public policy and for research. Economic theory suggests that such age-discriminatory regulations retard turnover of the capital stock, drive up the cost of environmental protection, and can increase pollution levels. Empirical studies validate theoretical predictions that VDRs delay replacement of durable goods, and thereby increase aggregate pollution abatement costs. In some cases, empirical...
Tipo: Working or Discussion Paper Palavras-chave: Vintage-differentiated regulation; New source review; Cost-effective environmental regulation; Environmental Economics and Policy; Q580; Q550; Q520; Q530; L510.
Ano: 2005 URL: http://purl.umn.edu/10796
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The SO2 Allowance Trading System and the Clean Air Act Amendments of 1990: Reflections on Twenty Years of Policy Innovation AgEcon
Chan, Gabriel; Stavins, Robert N.; Stowe, Robert; Sweeney, Richard.
The introduction of the U.S. SO2 allowance-trading program to address the threat of acid rain as part of the Clean Air Act Amendments of 1990 is a landmark event in the history of environmental regulation. The program was a great success by almost all measures. This paper, which draws upon a research workshop and a policy roundtable held at Harvard in May 2011, investigates critically the design, enactment, implementation, performance, and implications of this path-breaking application of economic thinking to environmental regulation. Ironically, cap and trade seems especially well suited to addressing the problem of climate change, in that emitted greenhouse gases are evenly distributed throughout the world’s atmosphere. Recent hostility toward cap and...
Tipo: Working Paper Palavras-chave: Cap-and-Trade; Market-Based Environmental Policy; Acid Rain; Sulfur Dioxide; Clean Air Act Amendments; Environmental Economics and Policy; Q520; Q550; Q580.
Ano: 2012 URL: http://purl.umn.edu/121722
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