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Welfare Measurement in Single and Multimarket Models: Theory and Application

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  • Runar Brännlund
  • Bengt Kriström

Abstract

In this paper we provide an analysis of tax reforms along the lines of the multimarket welfare measurement techniques suggested by Just, Hueth, and Schmitz. A key purpose of our analysis is to shed light on the approximating features of partial equilibrium models. We derive a result on the difference between single and multimarket welfare measurement, showing how the difference boils down to a set of key parameters. We use our approach to analyze a proposal put forward by the Swedish Commission of Environmental Charges regarding chlorine emissions from the Swedish pulp and paper industry. Copyright 1996, Oxford University Press.

Suggested Citation

  • Runar Brännlund & Bengt Kriström, 1996. "Welfare Measurement in Single and Multimarket Models: Theory and Application," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(1), pages 157-165.
    • Handle: RePEc:oup:ajagec:v:78:y:1996:i:1:p:157-165
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    File URL: http://hdl.handle.net/10.2307/1243787
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    Cited by:

    1. Bullock, David S. & Salhofer, Klaus, 2003. "Judging agricultural policies: a survey," Agricultural Economics, Blackwell, vol. 28(3), pages 225-243, May.
    2. Ing-Marie Gren & Paul Jannke & Katarina Elofsson, 1997. "Cost-Effective Nutrient Reductions to the Baltic Sea," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 10(4), pages 341-362, December.
    3. Brannlund, Runar & Kristrom, Bengt, 2001. "Too hot to handle?: Benefits and costs of stimulating the use of biofuels in the Swedish heating sector," Resource and Energy Economics, Elsevier, vol. 23(4), pages 343-358, October.
    4. Dimitrios Dadakas & Stelios Katranidis, 2008. "Single Versus Multi-market Approach: An Application to the Greek Cotton Market," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 36(4), pages 469-481, December.

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