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Coordination of Environmental Policy for Transboundary Environmental Problems

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Abstract

In order to reach a Pareto optimal outcome with transboundary environmental problems, there must be some kind of international environmental agreement. One possibility is to have an international environmental agreement focusing directly on emissions in each country. Given such an agreement, an important issue is whether one ought to supplement the agreement with some kind of policy coordination, or if the choice of environmental policies should be left to each country to decide on unilaterally. It is shown that the "ideal" conditions, policies need to be coordinated across countries.

Suggested Citation

  • Hoel, M., 1996. "Coordination of Environmental Policy for Transboundary Environmental Problems," Memorandum 03/1996, Oslo University, Department of Economics.
  • Handle: RePEc:hhs:osloec:1996_003
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    References listed on IDEAS

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    1. ., 1994. "Environmental Policy," Chapters,in: The Elgar Companion to Institutional and Evolutionary Economics, chapter 36 Edward Elgar Publishing.
    2. Ulph, A. & Ulph, D., 1994. "Trade, strategic innovation and strategic environmental policy: a general analysis," Discussion Paper Series In Economics And Econometrics 9416, Economics Division, School of Social Sciences, University of Southampton.
    3. Ralph C. d'Arge, 1975. "On the Economics of Transnational Environmental Externalities," NBER Chapters,in: Economic Analysis of Environmental Problems, pages 397-416 National Bureau of Economic Research, Inc.
    4. Ben Lockwood & Alan Manning, 1993. "Wage Setting and the Tax System: theory and Evidence for the UK," CEP Discussion Papers dp0115, Centre for Economic Performance, LSE.
    5. Grout, Paul A, 1984. "Investment and Wages in the Absence of Binding Contracts: A Nash Bargining Approach," Econometrica, Econometric Society, vol. 52(2), pages 449-460, March.
    6. Lockwood, Ben & Manning, Alan, 1993. "Wage setting and the tax system theory and evidence for the United Kingdom," Journal of Public Economics, Elsevier, pages 1-29.
    7. Ulph, Alistair Mitchell & Ulph, David, 1994. "Trade, Strategic Innovation and Strategic Environmental Policy - a General Analysis," CEPR Discussion Papers 1063, C.E.P.R. Discussion Papers.
    8. Oates, Wallace E. & Schwab, Robert M., 1988. "Economic competition among jurisdictions: efficiency enhancing or distortion inducing?," Journal of Public Economics, Elsevier, pages 333-354.
    9. Hoel, Michael, 1990. " Local versus Central Wage Bargaining with Endogenous Investments," Scandinavian Journal of Economics, Wiley Blackwell, vol. 92(3), pages 453-469.
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    Cited by:

    1. Wang, Kun & Fu, Xiaowen & Luo, Meifeng, 2015. "Modeling the impacts of alternative emission trading schemes on international shipping," Transportation Research Part A: Policy and Practice, Elsevier, vol. 77(C), pages 35-49.
    2. Konishi, Hideki, 2005. "Intergovernmental versus intersource emissions trading when firms are noncompliant," Journal of Environmental Economics and Management, Elsevier, vol. 49(2), pages 235-261, March.
    3. Ben Jebli, Mehdi & Ben Youssef, Slim, 2014. "Timing of adoption of clean technologies, transboundary pollution and international trade," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy (IfW), vol. 8, pages 1-31.
    4. Roberto Burguet & Jaime Sempere, "undated". "North-South Environmental Debate: Strategic Price Distortions And Capital Flows," UFAE and IAE Working Papers 442.99, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
    5. Juan Bárcena-Ruiz & María Garzón, 2014. "Multiproduct Firms and Environmental Policy Coordination," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, pages 407-431.
    6. Xiaodong Wu, 2000. ""Pollution Havens" and the Regulation of Multinationals by Multiple Governments," Econometric Society World Congress 2000 Contributed Papers 1766, Econometric Society.
    7. Milind Dawande & Mili Mehrotra & Vijay Mookerjee & Chelliah Sriskandarajah, 2010. "An Analysis of Coordination Mechanisms for the U.S. Cash Supply Chain," Management Science, INFORMS, pages 553-570.
    8. Rahel Aichele & Gabriel Felbermayr, 2013. "The Effect of the Kyoto Protocol on Carbon Emissions," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 32(4), pages 731-757, September.
    9. Xiao, Yi-bin & Fu, Xiaowen & Ng, Adolf K.Y. & Zhang, Anming, 2015. "Port investments on coastal and marine disasters prevention: Economic modeling and implications," Transportation Research Part B: Methodological, Elsevier, vol. 78(C), pages 202-221.
    10. Edwin Woerdman, 2000. "Competitive Distortions In An International Emissions Trading Market," Mitigation and Adaptation Strategies for Global Change, Springer, pages 337-360.
    11. Brandt, Urs Steiner, 2004. "Unilateral actions, the case of international environmental problems," Resource and Energy Economics, Elsevier, vol. 26(4), pages 373-391, December.
    12. Kangoh Lee, 2005. "Absentee Ownership of Immobile Factors and Environmental Policies in a Federation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, pages 407-417.
    13. Urs Brandt, 2003. "Are Uniform Solutions Focal? – The Case of International Environmental Agreements," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, pages 357-376.
    14. F. Cabo, 2001. "Towards an ecological technology for global growth in a North-South trade model," The Journal of International Trade & Economic Development, Taylor & Francis Journals, pages 15-41.
    15. Rahel Aichele, 2013. "Trade, Climate Policy and Carbon Leakage - Theory and Empirical Evidence," ifo Beiträge zur Wirtschaftsforschung, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 49, April.
    16. repec:gam:jsusta:v:9:y:2017:i:5:p:686-:d:96881 is not listed on IDEAS
    17. Ben Youssef, Slim, 2009. "Transboundary Pollution and Absorptive Capacity," MPRA Paper 17158, University Library of Munich, Germany.

    More about this item

    Keywords

    ENVIRONMENTAL POLICY; AIR POLLUTION; INTERNATIONAL AGREEMENTS;

    JEL classification:

    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation
    • Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy
    • F42 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - International Policy Coordination and Transmission

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