IDEAS home Printed from https://ideas.repec.org/a/bla/metroe/v70y2019i3p476-487.html
   My bibliography  Save this article

Emission permits and the dynamics of clean and dirty firms in an evolutionary competition model

Author

Listed:
  • Angelo Antoci
  • Simone Borghesi
  • Gianluca Iannucci
  • Paolo Russu

Abstract

Emission Trading Systems (ETSs) are today regarded as the pillar of market‐based environmental policies in many countries. This paper studies the impact of an ETS on the dynamics of the market made up of two types of firms: clean and dirty. Using an evolutionary context, we study how the share of clean firms evolves at different parameter values, such as increasing values of the permits’ price floor, and show that an ETS can have positive effects on the diffusion of the clean technology. However, numerical simulations show that under specific parameter values the opposite result may emerge with clean firms leaving the market.

Suggested Citation

  • Angelo Antoci & Simone Borghesi & Gianluca Iannucci & Paolo Russu, 2019. "Emission permits and the dynamics of clean and dirty firms in an evolutionary competition model," Metroeconomica, Wiley Blackwell, vol. 70(3), pages 476-487, July.
    • Handle: RePEc:bla:metroe:v:70:y:2019:i:3:p:476-487
    DOI: 10.1111/meca.12252
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/meca.12252
    Download Restriction: no
    File URL: https://libkey.io/10.1111/meca.12252?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ilaria Colivicchi & Gianluca Iannucci, 2023. "The Environmental Responsibility of Firms and Insurance Coverage in an Evolutionary Game," Dynamic Games and Applications, Springer, vol. 13(3), pages 801-818, September.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:metroe:v:70:y:2019:i:3:p:476-487. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0026-1386 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.