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Advantageous Leadership in Public Good Provision: The Case of an Endogenous Contribution Technology

Listed author(s):
  • Buchholz, Wolfgang
  • Eichenseer, Michael
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    From the perspective of standard public good theory the total amount of greenhouse gas mitigation (or public good supply in general) will be lower in a leader-follower game than in a simultaneous Nash game so that strategic leadership is disadvantageous for climate policy. We show that this need no longer be true when the leading country has the option to employ a technology by which it can reduce its abatement costs and thus improve the productivity of its contribution technology.

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    File URL: https://www.econstor.eu/bitstream/10419/168153/1/VfS-2017-pid-2773.pdf
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    Paper provided by Verein für Socialpolitik / German Economic Association in its series Annual Conference 2017 (Vienna): Alternative Structures for Money and Banking with number 168153.

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    Date of creation: 2017
    Handle: RePEc:zbw:vfsc17:168153
    Contact details of provider: Web page: http://www.socialpolitik.org/
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    1. John Stranlund, 1996. "On the strategic potential of technological aid in international environmental relations," Journal of Economics, Springer, vol. 64(1), pages 1-22, February.
    2. Wolfgang Buchholz & Kai Konrad, 1994. "Global environmental problems and the strategic choice of technology," Journal of Economics, Springer, vol. 60(3), pages 299-321, October.
    3. Ihori, Toshihiro, 1996. "International public goods and contribution productivity differentials," Journal of Public Economics, Elsevier, vol. 61(1), pages 139-154, July.
    4. Brandt, Urs Steiner, 2004. "Unilateral actions, the case of international environmental problems," Resource and Energy Economics, Elsevier, vol. 26(4), pages 373-391, December.
    5. Hoel, Michael, 1991. "Global environmental problems: The effects of unilateral actions taken by one country," Journal of Environmental Economics and Management, Elsevier, vol. 20(1), pages 55-70, January.
    6. Hattori, Keisuke & Yamada, Mai, 2013. "Skill Diversity and Leadership in Team Production," MPRA Paper 48481, University Library of Munich, Germany.
    7. Cornes,Richard & Sandler,Todd, 1996. "The Theory of Externalities, Public Goods, and Club Goods," Cambridge Books, Cambridge University Press, number 9780521477185.
    8. Hermalin, Benjamin E, 1998. "Toward an Economic Theory of Leadership: Leading by Example," American Economic Review, American Economic Association, vol. 88(5), pages 1188-1206, December.
    9. Richard Cornes & Roger Hartley, 2007. "Aggregative Public Good Games," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 9(2), pages 201-219, April.
    10. Bergstrom, Theodore & Blume, Lawrence & Varian, Hal, 1986. "On the private provision of public goods," Journal of Public Economics, Elsevier, vol. 29(1), pages 25-49, February.
    11. Varian, Hal R., 1994. "Sequential contributions to public goods," Journal of Public Economics, Elsevier, vol. 53(2), pages 165-186, February.
    12. Keisuke Hattori, 2005. "Is Technological Progress Pareto-Improving for a World with Global Public Goods?," Journal of Economics, Springer, vol. 84(2), pages 135-156, March.
    13. Andreoni, James, 1988. "Privately provided public goods in a large economy: The limits of altruism," Journal of Public Economics, Elsevier, vol. 35(1), pages 57-73, February.
    14. Stefano Barbieri, 2012. "Communication and Early Contributions," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 14(3), pages 391-421, June.
    15. Gregor Schwerhoff, 2016. "The economics of leadership in climate change mitigation," Climate Policy, Taylor & Francis Journals, vol. 16(2), pages 196-214, March.
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