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A Note on Environmental R&D under Time-Consistent Emission Tax

Author

Listed:
  • Yasunori Ouchida

    (Department of Economics, Hiroshima University, Japan)

  • Daisaku Goto

    (Graduate School for International Development and Cooperation, Hiroshima University, Japan)

Abstract

In a recent publication in Journal of Economic Behavior and Organization, Poyago-Theotoky (2007) developed a three-stage game model, and also derived theoretical findings and important policy implications for environmental R&D under a time-consistent emission tax. Among the conclusions presented in that paper, it was stated that with inefficient environmental R&D technology and small environmental damage, cooperative environmental R&D engenders larger environmental R&D efforts and greater social welfare than noncooperative environmental R&D does. This note describes that the results of Professor Poyago-Theotoky's (2007, 2010) works are still robust in a relaxed wider parameter range of the environmental damage coefficient. Furthermore, we provide the generalized sufficient condition of damage coefficient to guarantee an interior solution for R&D in an extended framework.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Yasunori Ouchida & Daisaku Goto, 2011. "A Note on Environmental R&D under Time-Consistent Emission Tax," International Journal of Business and Economics, School of Management Development, Feng Chia University, Taichung, Taiwan, vol. 10(3), pages 257-260, December.
    • Handle: RePEc:ijb:journl:v:10:y:2011:i:3:p:257-260
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    References listed on IDEAS

    as
    1. Poyago-Theotoky, J.A., 2010. "Corrigendum to "The Organization of R&D and Environmental Policy" [J. Econ. Behav. Org. 62 (2007) 63-75]," Journal of Economic Behavior & Organization, Elsevier, vol. 76(2), pages 449-449, November.
    2. Avinash Dixit, 1979. "A Model of Duopoly Suggesting a Theory of Entry Barriers," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 20-32, Spring.
    3. Spence, Michael, 1976. "Product Differentiation and Welfare," American Economic Review, American Economic Association, vol. 66(2), pages 407-414, May.
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    Citations

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    Cited by:

    1. Yasunori Ouchida & Daisaku Goto, 2012. "What is the socially desirable formation of environmental R&D?," IDEC DP2 Series 2-6, Hiroshima University, Graduate School for International Development and Cooperation (IDEC).
    2. Wang, Chenyu & Atallah, Gamal, 2025. "Carbon tax in a duopoly with asymmetric spillovers and symmetric contributions," Economic Modelling, Elsevier, vol. 148(C).
    3. Ouchida, Yasunori & Goto, Daisaku, 2014. "Environmental Research Joint Ventures and Time-Consistent Emission Tax," Climate Change and Sustainable Development 166524, Fondazione Eni Enrico Mattei (FEEM).
    4. Ouchida, Yasunori & Goto, Daisaku, 2014. "Do emission subsidies reduce emission? In the context of environmental R&D organization," Economic Modelling, Elsevier, vol. 36(C), pages 511-516.
    5. Ouchida, Yasunori & Goto, Daisaku, 2016. "Environmental research joint ventures and time-consistent emission tax: Endogenous choice of R&D formation," Economic Modelling, Elsevier, vol. 55(C), pages 179-188.
    6. Yasunori Ouchida & Daisaku Goto, 2012. "The organization of R&D and environmental policy: So does emission subsidy reduce emissions?," IDEC DP2 Series 2-13, Hiroshima University, Graduate School for International Development and Cooperation (IDEC).
    7. Qian Han & Chenxuan Shang & Dongdong Li, 2026. "Who benefits from corporate social responsibility in the presence of environmental externalities?," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 28(1), pages 73-95, January.

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    More about this item

    Keywords

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    JEL classification:

    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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