Regulating a Polluting Oligopoly: Emission Tax or Voluntary Agreement?
Subject: Pollution regulation
jel: jel:L51 | jel:Q48 | jel:H23 | jel:L13
This paper compares, in a polluting oligopoly, an emission tax and a form of environmental policy called voluntary agreement (VA). There are here two ways of reducing pollution: output contraction and endof- pipe abatement. Given the imperfect competition, firms' reacti... View more