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International Environmental Agreements under Uncertainty

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  • Na, Seong-lin
  • Shin, Hyun Song

Abstract

Negotiations toward international environmental agreements take place under uncertainty. The authors address the process of coalition formation in this context. Coalitions are more likely to form among countries that are similar. Since countries are more likely to be facing similar conditions ex ante rather than ex post (i.e., before the resolution of uncertainty rather than after it), the possibility of coalition formation is enhanced the sooner the negotiations take place. The social value of better scientific information may well be negative in such circumstances. Copyright 1998 by Royal Economic Society.

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Bibliographic Info

Article provided by Oxford University Press in its journal Oxford Economic Papers.

Volume (Year): 50 (1998)
Issue (Month): 2 (April)
Pages: 173-85

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Handle: RePEc:oup:oxecpp:v:50:y:1998:i:2:p:173-85

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Cited by:
  1. Fuhai Hong & Susheng Wang, 2012. "Climate Policy, Learning, and Technology Adoption in Small Countries," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 51(3), pages 391-411, March.
  2. Hans-Peter Weikard & Juan-Carlos Altamirano-Cabrera & Michael Finus, 2004. "The Impact of Surplus Sharing on The Stability of International Climate Agreements," Working Papers, Fondazione Eni Enrico Mattei 2004.99, Fondazione Eni Enrico Mattei.
  3. Vincent Boucher & Yann Bramoullé, 2007. "Risk Aversion and International Environmental Agreements," Cahiers de recherche, CIRPEE 0739, CIRPEE.
  4. Gary D. Libecap, 2014. "Addressing Global Environmental Externalities: Transaction Costs Considerations," Journal of Economic Literature, American Economic Association, American Economic Association, vol. 52(2), pages 424-79, June.
  5. Finus, M & Pintassilgo, Pedro & Ulph, Alistair, 2014. "International Environmental Agreements with Uncertainty, Learning and Risk Aversion," Department of Economics Working Papers, University of Bath, Department of Economics 39840, University of Bath, Department of Economics.
  6. Porchiung Chou & Cheickna Sylla, 2008. "The formation of an international environmental agreement as a two-stage exclusive cartel formation game with transferable utilities," International Environmental Agreements: Politics, Law and Economics, Springer, Springer, vol. 8(4), pages 317-341, December.
  7. Boucher, Vincent & Bramoullé, Yann, 2010. "Providing global public goods under uncertainty," Journal of Public Economics, Elsevier, Elsevier, vol. 94(9-10), pages 591-603, October.
  8. Baker, Erin, 2005. "Uncertainty and learning in a strategic environment: global climate change," Resource and Energy Economics, Elsevier, Elsevier, vol. 27(1), pages 19-40, January.
  9. Dellink, Rob & Finus, Michael, 2009. "Uncertainty and Climate Treaties: Does Ignorance Pay?," Stirling Economics Discussion Papers, University of Stirling, Division of Economics 2009-15, University of Stirling, Division of Economics.
  10. Charles Kolstad & Alistair Ulph, 2011. "Uncertainty, Learning and Heterogeneity in International Environmental Agreements," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 50(3), pages 389-403, November.
  11. Santiago J. Rubio, 2001. "International Cooperation In Pollution Control," Working Papers. Serie AD, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie) 2001-21, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
  12. Finus, Michael & Pintassilgo, Pedro, 2012. "The Role of Uncertainty and Learning for the Success of International Climate Agreements," Department of Economics Working Papers, University of Bath, Department of Economics 28482, University of Bath, Department of Economics.
  13. May Elsayyad & Florian Morath, 2013. "Technology Transfers for Climate Change," CESifo Working Paper Series, CESifo Group Munich 4521, CESifo Group Munich.
  14. Kolstad, Charles D., 2007. "Systematic uncertainty in self-enforcing international environmental agreements," Journal of Environmental Economics and Management, Elsevier, vol. 53(1), pages 68-79, January.
  15. Gilles Rotillon & Tazdaït Tarik, 2003. "Coopération internationale et problèmes environnementaux globaux : vision normative versus vision positive," Revue d’économie du développement, De Boeck Université, De Boeck Université, vol. 17(1), pages 101-134.
  16. Thomas Eichner & Rüdiger Pethig, 2014. "Self-enforcing international environmental agreements and trade: taxes versus caps," Volkswirtschaftliche Diskussionsbeiträge, Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht 165-14, Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht.
  17. Hans-Peter Weikard & Rob Dellink & Ekko Ierland, 2010. "Renegotiations in the Greenhouse," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 45(4), pages 573-596, April.
  18. Agbo, Maxime, 2014. "Strategic exploitation with learning and heterogeneous beliefs," Journal of Environmental Economics and Management, Elsevier, vol. 67(2), pages 126-140.
  19. Rob Dellink & Michael Finus & Niels Olieman, 2008. "The stability likelihood of an international climate agreement," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 39(4), pages 357-377, April.

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