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An Economic Analysis of Transboundary Air Pollution between Finland and the Former Soviet Union

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Author Info

  • Kaitala, Veijo
  • Pohjola, Matti
  • Tahvonen, Olli

Abstract

The net benefits of bilateral cooperation between Finland and the former Soviet Union on reducing sulphur emissions are evaluated for both parties. The analysis is based on a sulphur transportation model and on estimated abatement cost functions. It is shown that efficient cooperation may entail financial transfers from Finland to the Soviet Union because it is cheaper to abate sulpher there. It is further demonstrated that a recently signed agreement aimed at reductions in air pollutants is not rational from the Soviet Union's viewpoint and may not, therefore, be carried out without monetary support from Finland. Copyright 1992 by The editors of the Scandinavian Journal of Economics.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Scandinavian Journal of Economics.

Volume (Year): 94 (1992)
Issue (Month): 3 ()
Pages: 409-24

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Handle: RePEc:bla:scandj:v:94:y:1992:i:3:p:409-24

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Web page: http://onlinelibrary.wiley.com/journal/10.1111/(ISSN)1467-9442

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Cited by:
  1. Pierre COURTOIS & Jean-Christophe PEREAU & Tarik TAZDAIT, 2004. "Une approche évolutionnaire des négociations internationales en présence de problèmes environnementaux globaux," Discussion Papers (REL - Recherches Economiques de Louvain) 2004012, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  2. Veijo Kaitala & Matti Pohjola & Olli Tahvonen, 1992. "Transboundary air pollution and soil acidification: A dynamic analysis of an acid rain game between Finland and the USSR," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 2(2), pages 161-181, March.
  3. Veijo Kaitala & Matti Pohjola & Olli Tahvonen, 1991. "An analysis of SO2 negotiations between Finland and the Soviet Union," Finnish Economic Papers, Finnish Economic Association, vol. 4(2), pages 104-112, Autumn.
  4. Jean-Christophe Pereau & Tarik Tazdait, 2001. "Co-operation and Unilateral Commitment inthe Presence of Global EnvironmentalProblems," Post-Print halshs-00009889, HAL.
  5. Smala Fanokoa, Pascaux & Telahigue, Issam & Zaccour, Georges, 2011. "Buying cooperation in an asymmetric environmental differential game," Journal of Economic Dynamics and Control, Elsevier, vol. 35(6), pages 935-946, June.
  6. Kari Alho, 1992. "Bilateral transfers and lending in international environmental cooperation," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 2(2), pages 201-220, March.
  7. repec:ebl:ecbull:v:17:y:2002:i:2:p:1-9 is not listed on IDEAS
  8. Wang, Yiming, 2013. "A time-consistent model for cooperation in international pollution control," Economic Modelling, Elsevier, vol. 33(C), pages 500-506.
  9. Begona Casino, 2002. "J curve for abatement with transboundary pollution," Economics Bulletin, AccessEcon, vol. 17(2), pages 1-9.

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