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Pigouvian Taxes Under Imperfect Competition If Consumption Depends on Emissions

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  • Udo Ebert
  • Oskar von dem Hagen

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Abstract

The paper considers environmental regulation of a consumption good and an externality which influence demand and costs in a nonseparable way. Under monopoly two instruments are always required for first-best. The Pigouvian tax is more complicated than anticipated. Copyright Kluwer Academic Publishers 1998

Suggested Citation

  • Udo Ebert & Oskar von dem Hagen, 1998. "Pigouvian Taxes Under Imperfect Competition If Consumption Depends on Emissions," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 12(4), pages 507-513, December.
  • Handle: RePEc:kap:enreec:v:12:y:1998:i:4:p:507-513 DOI: 10.1023/A:1008215019489
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    References listed on IDEAS

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    1. Barnett, A H, 1980. "The Pigouvian Tax Rule under Monopoly," American Economic Review, American Economic Association, vol. 70(5), pages 1037-1041, December.
    2. Buchanan, James M, 1969. "External Diseconomies, Corrective Taxes, and Market Structure," American Economic Review, American Economic Association, vol. 59(1), pages 174-177, March.
    3. Katsoulacos, Yannis & Xepapadeas, Anastasios, 1995. " Environmental Policy under Oligopoly with Endogenous Market Structure," Scandinavian Journal of Economics, Wiley Blackwell, vol. 97(3), pages 411-420, September.
    4. Misiolek, Walter S., 1988. "Pollution control through price incentives: The role of rent seeking costs in monopoly markets," Journal of Environmental Economics and Management, Elsevier, vol. 15(1), pages 1-8, March.
    5. Sheshinski, Eytan, 1976. "Price, Quality and Quantity Regulation in Monopoly Situations," Economica, London School of Economics and Political Science, vol. 43(17), pages 127-137, May.
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    Citations

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    Cited by:

    1. You, Wen & Mitchell, Paul D. & Davis, George C., 2004. "Sweet Persuasion: Soft Drinks, School Funding, And Children'S Health," 2004 Annual meeting, August 1-4, Denver, CO 20129, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Zylicz, Tomasz, 2010. "Goals and Principles of Environmental Policy," International Review of Environmental and Resource Economics, now publishers, vol. 3(4), pages 299-334, May.
    3. Claudio A. Piga, 2006. "Pigouvian Taxation in Tourism," Discussion Paper Series 2006_2, Department of Economics, Loughborough University, revised Jan 2006.
    4. Xiangkang Yin, 2003. "Corrective Taxes under Oligopoly with Inter-Firm Externalities," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, pages 269-277.
    5. Claudio Piga, 2003. "Pigouvian Taxation in Tourism," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, pages 343-359.
    6. Requate, Till, 2005. "Environmental Policy under Imperfect Competition: A Survey," Economics Working Papers 2005-12, Christian-Albrechts-University of Kiel, Department of Economics.

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