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Taxe environnementale et approche volontaire en oligopole de Cournot

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  • Maia David

Abstract

This paper compares, in a polluting oligopoly, an emission tax and a form of environmental policy called voluntary agreement (va). The output contraction resulting from the tax amplifies the distortion due to imperfect competition making the tax sub-optimal. The va studied here is a take-it-or-leave-it contract on pollution treatment effort offered to the firms with the threat of a tax. This form of va is only based on end-of-pipe pollution treatment and therefore has a limited effect on output. We derive a necessary and sufficient condition under which the va is more efficient than the tax. It will be satisfied for concentrated industries and for a form of pollution not too harmful and easy to treat. Classification JEL : D62, H23, L13, L51, Q28.

Suggested Citation

  • Maia David, 2003. "Taxe environnementale et approche volontaire en oligopole de Cournot," Revue économique, Presses de Sciences-Po, vol. 54(3), pages 707-716.
    • Handle: RePEc:cai:recosp:reco_543_0707
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    JEL classification:

    • D62 - Microeconomics - - Welfare Economics - - - Externalities
    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy

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