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Title:Transboundary environmental problems with a mobile population: Is there a need for central policy? PDF Logo
Authors:Hoel, Michael
Shapiro, Perry
Issue Date:2000
Series/Report no.:Memorandum, Department of Economics, University of Oslo 2000,16
Abstract:It is a widely held view that efficient environmental policies regulating transboundary pollution will be adopted only if there is interjurisdictional coordination. Efficient policies can be adopted as a result of interstate treaties or mandated by a central authority. However, if the policies of states are chosen to maximize the same function of own citizen welfare, and if individuals migrate freely between states, constrained-efficient environmental regulatory policies are a non-cooperative equilibrium. The policies are constrained-efficient in equilibrium, the policy choices are the same as those found by maximizing the social welfare function subject to a policy feasibility constraint.
Subjects:Transboundary pollution
Population mobility
Federalism
JEL:D6
H7
Q20
R23
Document Type:Working Paper
Appears in Collections:Memorandum, Department of Economics, University of Oslo

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