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Schemes to Regulate Non-Point Water Pollution: Making Sense of Experimental Results

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Author Info
Pushkarskaya, Helen
Abstract

Three theoretical non-point water pollution (NPS) control schemes were tested repeatedly in experimental studies – tax-subsidy scheme (K. Segerson, 1988), collective fining (Xepapadeas, 1991) and random fining (Xepapadeas, 1991). Camacho and Requate (2004) summarized results reported by Spraggon (2002), Vossler et al (2002), Cochard et al (2002), and Alpizar et al (2004) and replicated their experiments. This paper discusses similarity and differences among all the reported results and in particular the following two. First, both collective fining and random fining induce abatement under the target, their performance deteriorates over time and is relatively consistent over the replications. Second, tax-subsidy scheme induced abatement over the target, its performance is consistent over periods, but not over the replications.

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Publisher Info
Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2006 Annual meeting, July 23-26, Long Beach, CA with number 21111.

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Date of creation: 2006
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Handle: RePEc:ags:aaea06:21111

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Keywords: Environmental Economics and Policy;

References listed on IDEAS
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  1. John Spraggon, 1998. "Exogenous Targeting Instruments as a Solution to Group Moral Hazards," Department of Economics Working Papers 1998-01, McMaster University. [Downloadable!]
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  2. François Cochard & Marc Willinger & Anastasios Xepapadeas, 2002. "Efficiency of Nonpoint Source Pollution Instruments with Externality Among Polluters:An Experimental Study," Working Papers of BETA 2002-20, Bureau d'Economie Théorique et Appliquée, ULP, Strasbourg. [Downloadable!]
  3. Camacho, Eva & Requate, Till, 2004. "Collective and Random Fining versus Tax/Subsidy - Schemes to Regulate Non-Point Pollution : An Experimental Study," Economics Working Papers 2004,10, Christian-Albrechts-University of Kiel, Department of Economics. [Downloadable!]
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