Files

Action Filename Size Access Description License
Show more files...

Abstract

A model of environmental regulation with interdependent production and pollution abatement costs and heterogeneous firms is developed. Firms have private information about costs which have a quadratic form. A budget-balancing problem is shown to—exist --- even with Bayes-Nash strategies. The full information optimum cannot be attained unless gains from trade in the product market net of external damages exceed the information rents earned by firms.

Details

Downloads Statistics

from
to
Download Full History