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Climate politics: How public persuasion affects the trade-off between environmental and economic performance

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  • Fabien Prieur

    (EconomiX - EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique)

  • Benteng Zou

Abstract

This paper aims at studying the impact of public persuasion, through information dissemination, on environmental and economic performance. A differential game in which opposite interest groups compete for bringing the majority’s environmental concern closer to their views is developed. The results show a strong asymmetry in the impact of public persuasion. It may bring the median voter economy closer to the social optimum in the long run, thereby reducing environmental and economic distortions. But this only occurs when the environmental group exhibits a radical ideology and people are initially closer to the industrialists’ views. By contrast, economies where industrial groups are powerful and strongly opposed to environmental protection never benefit from the outcome of the game of persuasion. This may explain why the US have failed to take action on global warming up to now.
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Suggested Citation

  • Fabien Prieur & Benteng Zou, 2018. "Climate politics: How public persuasion affects the trade-off between environmental and economic performance," Post-Print hal-01899673, HAL.
    • Handle: RePEc:hal:journl:hal-01899673
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    Cited by:

    1. Mireille Chiroleu‐Assouline & Thomas P. Lyon, 2020. "Merchants of doubt: Corporate political action when NGO credibility is uncertain," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 29(2), pages 439-461, April.
    2. Daniel Cardona & Jenny De Freitas & Antoni Rubí-Barceló, 2021. "Environmental policy contests: command and control versus taxes," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 28(3), pages 654-684, June.
    3. Raoul Bouccekine & Fabien Prieur & Weihua Ruan & Benteng Zou, 2021. "Uncertainty-driven symmetry-breaking and stochastic stability in a generic differential game of lobbying," DEM Discussion Paper Series 21-10, Department of Economics at the University of Luxembourg.
    4. Jindapon, Paan & Van Essen, Matt, 2019. "Political business cycles in a dynamic bipartisan voting model," Mathematical Social Sciences, Elsevier, vol. 102(C), pages 15-23.

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