IDEAS home Printed from https://ideas.repec.org/p/fbb/wpaper/2010101.html

Can International Environmental Cooperation Be Bought?

Author

Listed:
  • Fuentes Albero Cristina

    (UNIVERSITY OF PENNSYLVANIA)

  • Rubio Jorge Santiago J.

    (UNIVERSITY OF PENNSYLVANIA UNIVERSITY OF VALENCIA)

Abstract

In this working paper a two-stage game of international environmental agreement formation with asymmetric countries is analytically solved. The equilibrium of the game allows to determine the number of countries interested in signing the agreement. Two cases are studied. In the first case, the countries differ only in the abatement costs, and in the second case, in the environmental damages. In both cases, two different institutional settings, one without side payments and another with side payments, are considered. The results establish that the asymmetry assumption has no important effects on the scope of cooperation in comparison with the symmetric case if side payments are not used or the only difference among countries is given by the abatement costs. However, when the only difference is given by the environmental damages, the result is that the level of cooperation that can be bought through a self-financed side payment system increases with the degree of asymmetry.

Suggested Citation

  • Fuentes Albero Cristina & Rubio Jorge Santiago J., 2008. "Can International Environmental Cooperation Be Bought?," Working Papers 2010101, Fundacion BBVA / BBVA Foundation.
    • Handle: RePEc:fbb:wpaper:2010101
    as

    Download full text from publisher

    File URL: http://www.fbbva.es/TLFU/tlfu/ing/areas/medioamb/publicaciones/documentos/fichadoc/index.jsp?codigo=282
    Download Restriction: no
    ---><---

    Other versions of this item:

    More about this item

    Keywords

    ;
    ;
    ;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D62 - Microeconomics - - Welfare Economics - - - Externalities
    • F02 - International Economics - - General - - - International Economic Order and Integration
    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fbb:wpaper:2010101. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Fundacion BBVA / BBVA Foundation (email available below). General contact details of provider: https://edirc.repec.org/data/fbbvaes.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.