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Cooperation, stability and self-enforcement in interational environmental agreements : a conceptual discussion

  • Henry, TULKENS

    (UNIVERSITE CATHOLIQUE DE LOUVAIN, Department of Economics)

  • Parkash, CHANDER

    (National University of Singapore)

In essence, any international environmental agreement (IEA) imples cooperation of a form or another; The paper seeks for logical foundations of this. It first deals with how the need for cooperation derives from the public good aspect of the externalities involved, as well as with where the source of cooperation lies in cooperative game theory. In either case, the quest for efficiency is claimed to be at the root of cooperation. Next, cooperation is considered from the point of view of stability. After recalling the two competing concepts of stability in use in the IEA literature, new insights on the nature of the gamma core in general are given as well as of the Chandler-Tulkens solution within the gamma core. Free riding is also evaluated in relation with the alternative forms of stability under scrutiny. Finally, it is asked whether with the often mentioned virtue of “self enforcement” any conceptual gain is achieved, different from what is meant by efficiency and stability. A skeptical answer is offered, as a reply to Barret’s (2003) attempt at giving the notion a specific content.

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Paper provided by Université catholique de Louvain, Département des Sciences Economiques in its series Discussion Papers (ECON - Département des Sciences Economiques) with number 2006003.

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Length: 26
Date of creation: 01 Jan 2006
Date of revision: 15 Jan 2006
Handle: RePEc:ctl:louvec:2006003
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  1. Roberts, John, 1979. "Incentives in Planning Procedures for the Provision of Public Goods," Review of Economic Studies, Wiley Blackwell, vol. 46(2), pages 283-92, April.
  2. Carlo Carraro & Barbara Buchner, 2005. "Regional and Sub-Global Climate Blocs.A Game-Theoretic Perspective on Bottom-up Climate Regimes," Working Papers 2005.21, Fondazione Eni Enrico Mattei.
  3. Chander, P. & Tulkens, H., . "The core of an economy with multilateral environmental externalities," CORE Discussion Papers RP -1276, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  4. Tulkens, Henry & Schoumaker, Francoise, 1975. "Stability analysis of an effluent charge and the `polluters pay' principle," Journal of Public Economics, Elsevier, vol. 4(3), pages 245-269, August.
  5. Oran R. Young, 2003. "Environment and Statecraft: The Strategy of Environmental Treaty-Making," Global Environmental Politics, MIT Press, vol. 3(1), pages 145-147, 02.
  6. Carraro, Carlo & Siniscalco, Domenico, 1993. "Strategies for the international protection of the environment," Journal of Public Economics, Elsevier, vol. 52(3), pages 309-328, October.
  7. Parkash Chander & Henry Tulkens, 1995. "A core-theoretic solution for the design of cooperative agreements on transfrontier pollution," International Tax and Public Finance, Springer, vol. 2(2), pages 279-293, August.
  8. Barrett, Scott, 1994. "Self-Enforcing International Environmental Agreements," Oxford Economic Papers, Oxford University Press, vol. 46(0), pages 878-94, Supplemen.
  9. Johan Eyckmans & Michael Finus, 2004. "An Almost Ideal Sharing Scheme for Coalition Games with Externalities," Working Papers 2004.155, Fondazione Eni Enrico Mattei.
  10. Champsaur, Paul & Laroque, Guy, 1982. "Strategic Behavior in Decentralized Planning Procedures," Econometrica, Econometric Society, vol. 50(2), pages 325-44, March.
  11. Parkash Chander & Henry Tulkens & Jean-Pascal van Ypersele & Stephane Willems, 1999. "The Kyoto Protocol: An Economic and Game Theoretic Interpretation," CESifo Working Paper Series 229, CESifo Group Munich.
  12. VAN STEENBERGHE, Vincent, 2004. "Core-stable and equitable allocations of greenhouse gas emission permits," CORE Discussion Papers 2004075, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  13. Dreze, Jacques H & de la Vallee Poussin, D, 1971. "A Tatonnement Process for Public Goods," Review of Economic Studies, Wiley Blackwell, vol. 38(114), pages 133-50, April.
  14. Buonanno, Paolo & Carraro, Carlo & Galeotti, Marzio, 2003. "Endogenous induced technical change and the costs of Kyoto," Resource and Energy Economics, Elsevier, vol. 25(1), pages 11-34, February.
  15. Johan Eyckmans & Michael Finus, 2007. "Measures to enhance the success of global climate treaties," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 7(1), pages 73-97, March.
  16. Parkash Chander, 2003. "The ?-Core and Coalition Formation," Working Papers 2003.94, Fondazione Eni Enrico Mattei.
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