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Are NIMBY'S commuters?

  • Bert Saveyn

This paper considers a metropolitan area where residents can commute between several jurisdictions. These residents show NIMBY behavior (Not-In-My-Backyard). They try to preserve their living quality by pushing their polluting economic activity to the neighboring jurisdictions, while keeping their labor income as commuters. This induces a race-to-the-top among jurisdictions. Fiercer competition due to a higher number of jurisdictions intensifies this race-to-the-top; commuting costs, pollution taxes, payroll taxes and bigger jurisdictions increase rather than decrease the incentive for more pollution.

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File URL: https://lirias.kuleuven.be/bitstream/123456789/500306/1/Dps0604.pdf
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Paper provided by KU Leuven, Faculty of Economics and Business, Department of Economics in its series Working Papers Department of Economics with number ces0604.

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Date of creation: Mar 2006
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Handle: RePEc:ete:ceswps:ces0604
Contact details of provider: Web page: http://feb.kuleuven.be/Economics/

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