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Dynamic effects on the stability of international environmental agreements

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Author Info
de Zeeuw, Aart
Abstract

In terms of the number of signatories, one observes both large and small international environmental agreements. The theoretical literature, based on game theory, discusses different concepts and mechanisms regarding stability of coalitions. The conclusion has been reached that in all circumstances, under farsightedness, both large and small stable coalitions can occur. This theory is based on behavioural reaction patterns but does not take account of the interaction with the dynamics of emission adjustments. This paper shows that when these two dynamical processes are integrated, large and small stable coalitions can still occur but only if the costs of emissions are relatively unimportant as compared with the costs of abatement.

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File URL: http://www.sciencedirect.com/science/article/B6WJ6-4R29FGD-1/1/2d6de976bd15fd7b733a9f9a8c6a5b9d
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Publisher Info
Article provided by Elsevier in its journal Journal of Environmental Economics and Management.

Volume (Year): 55 (2008)
Issue (Month): 2 (March)
Pages: 163-174
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Handle: RePEc:eee:jeeman:v:55:y:2008:i:2:p:163-174

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Web page: http://www.elsevier.com/locate/inca/622870

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  1. Miyuki Nagashima & Rob Dellink, 2008. "Technology spillovers and stability of international climate coalitions," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 8(4), pages 343-365, December. [Downloadable!] (restricted)
    Other versions:
  2. Marta Biancardi & Giovanni Villani, 2009. "International Environmental Agreements with Asymmetric Countries," Quaderni DSEMS 09-2009, Dipartimento di Scienze Economiche, Matematiche e Statistiche, Universita' di Foggia. [Downloadable!]
  3. Marta Biancardi & Andrea Di Liddo, 2008. "International Environmental Agreement: a Dynamic Model of Emissions Reduction," Quaderni DSEMS 13-2008, Dipartimento di Scienze Economiche, Matematiche e Statistiche, Universita' di Foggia. [Downloadable!]
  4. Benchekroun, H. & Ray Chaudhuri, A., 2008. "Collusion Inducing Taxation of a Polluting Oligopoly," Discussion Paper 2008-80, Tilburg University, Center for Economic Research. [Downloadable!]
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