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Institutional Design For Environmental Acts

Author

Listed:
  • Guillouet, Louise
  • Martimort, David

Abstract

This paper develops a model of niche lobbying in which interest groups endogenously specialize in the acquisition of distinct types of policy-relevant information. Contrary to the view that niche strategies are chosen to soften competition and secure autonomy, we show that specialization arises as a self-enforcing equilibrium even though groups would prefer to compete over the same informational dimensions. The mechanism is demand-driven: when information acquisition is private and nonverifiable, the decision-maker’s inference from silence intensifies informational pressure on specialized groups, increasing the burden of information acquisition. We discuss the implications of these results for interest groups influence in climate and biodiversity policy.

Suggested Citation

  • Guillouet, Louise & Martimort, David, 2026. "Institutional Design For Environmental Acts," TSE Working Papers 26-1705, Toulouse School of Economics (TSE).
  • Handle: RePEc:tse:wpaper:131356
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    References listed on IDEAS

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    1. Karp, Larry, 2007. "Non-constant discounting in continuous time," Journal of Economic Theory, Elsevier, vol. 132(1), pages 557-568, January.
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    3. Derek Lemoine & Christian Traeger, 2014. "Watch Your Step: Optimal Policy in a Tipping Climate," American Economic Journal: Economic Policy, American Economic Association, vol. 6(1), pages 137-166, February.
    4. Gollier, Christian & Jullien, Bruno & Treich, Nicolas, 2000. "Scientific progress and irreversibility: an economic interpretation of the 'Precautionary Principle'," Journal of Public Economics, Elsevier, vol. 75(2), pages 229-253, February.
    5. Kenneth J. Arrow & Anthony C. Fisher, 1974. "Environmental Preservation, Uncertainty, and Irreversibility," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 88(2), pages 312-319.
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    More about this item

    Keywords

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    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness

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