Transactions Costs in Tradeable Emissions Markets: an Empirical Study of the Regional Clean Air Incentives MArket in Los Angeles
This paper examines the Regional Clean Air Incentives MArket (RECLAIM) which was launched in Los Angeles in January 1994. RECLAIM is an emissions trading program which is expected to decrease hazardous pollutants from stationary sources in the South Coast Basin. I analyze the transactions data and conduct hedonic price regressions to find that the price of Reclaim Trading Credits is higher in the Nitrogen Oxide market as compared to the Sulfur Oxide market. Also prices in the coastal zone are higher than in the inland zone. The facility level data reveal that transactions costs can be very high for some facilities in RECLAIM. The transaction costs variables have been defined to include search costs and information costs. These costs are significant and are responsible for some facilities not entering the emissions market.
To our knowledge, this item is not available for
download. To find whether it is available, there are three
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
|Date of creation:||1997|
|Date of revision:|
|Contact details of provider:|| Postal: Department of Economics, The University of Melbourne, 4th Floor, FBE Building, Level 4, 111 Barry Street. Victoria, 3010, Australia|
Phone: +61 3 8344 5355
Fax: +61 3 8344 6899
Web page: http://fbe.unimelb.edu.au/economics
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:mlb:wpaper:591. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Katherine Perez)
If references are entirely missing, you can add them using this form.