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Have Incentive Based Policies Been Oversold?

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  • Schwabe, Kurt A.
  • Smith, V. Kerry

Abstract

Comparisons of alternative pollution control instruments over the past thirty years show quite disparate results for seemingly comparable situations. This research demonstrates how the magnitude of the estimated cost savings associated with incentive-based instruments is influenced by two important factors: (i) separability assumptions between emissions and output, and (ii) participation criteria.

Suggested Citation

  • Schwabe, Kurt A. & Smith, V. Kerry, 1998. "Have Incentive Based Policies Been Oversold?," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20787, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea98:20787
    DOI: 10.22004/ag.econ.20787
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    References listed on IDEAS

    as
    1. Foster, Vivien & Hahn, Robert W, 1995. "Designing More Efficient Markets: Lessons from Los Angeles Smog Control," Journal of Law and Economics, University of Chicago Press, vol. 38(1), pages 19-48, April.
    2. Robert N. Stavins, 1998. "What Can We Learn from the Grand Policy Experiment? Lessons from SO2 Allowance Trading," Journal of Economic Perspectives, American Economic Association, vol. 12(3), pages 69-88, Summer.
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    Cited by:

    1. Schwabe, Kurt A., 2000. "Modeling state-level water quality management: the case of the Neuse River Basin," Resource and Energy Economics, Elsevier, vol. 22(1), pages 37-62, January.

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