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Note historique sur les effets externes

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  • Laffont, Jean-Jacques

Abstract

This historical note describes from Sidgwick on the evolution of the concepts related to the interdependencies of economic agents outside markets. In a first section, we show how the concept of externality introduced by some precursors had later to reemerge from the confuse discussion of "empty boxes". The second sector clarifies the distinction between two avenues of research, the first one associated with pecuniary externalities, the other one associated with technological externalities. Coase's criticisms of Pigouvian policy are developed in section 3. In a last section we gather the main results obtained recently by economic theory in this field. In particular we discuss the difficulties of the creation of artificial markets, the second best approaches often needed in a Pigouvian policy, results of game theory in models with externalities, planning with externalities.

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  • Laffont, Jean-Jacques, 1975. "Note historique sur les effets externes," L'Actualité Economique, Société Canadienne de Science Economique, vol. 51(3), pages 420-433, juillet.
    • Handle: RePEc:ris:actuec:v:51:y:1975:i:3:p:420-433
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    1. Shapley, Lloyd S & Shubik, Martin, 1969. "On the Core of an Economic System with Externalities," American Economic Review, American Economic Association, vol. 59(4), pages 678-684, Part I Se.
    2. Theodore Groves, 1974. "Information, Incentives and the Internalization of Production Externalities," Discussion Papers 87, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
    3. R. H. Coase, 2013. "The Problem of Social Cost," Journal of Law and Economics, University of Chicago Press, vol. 56(4), pages 837-877.
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    7. John S. Chipman, 1970. "External Economies of Scale and Competitive Equilibrium," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 84(3), pages 347-385.
    8. Ayres, Robert U & Kneese, Allen V, 1969. "Production , Consumption, and Externalities," American Economic Review, American Economic Association, vol. 59(3), pages 282-297, June.
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    10. Starrett, David A., 1972. "Fundamental nonconvexities in the theory of externalities," Journal of Economic Theory, Elsevier, vol. 4(2), pages 180-199, April.
    11. Rosenthal, Robert W., 1971. "External economies and cores," Journal of Economic Theory, Elsevier, vol. 3(2), pages 182-188, June.
    12. Peter A. Diamond & James A. Mirrlees, 1973. "Aggregate Production with Consumption Externalities," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 87(1), pages 1-24.
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    Cited by:

    1. Nathalie Berta, 2016. "On the definition of externality as a missing market," Post-Print halshs-01277990, HAL.
    2. Nathalie Berta, 2016. "On the definition of externality as a missing market," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-01277990, HAL.
    3. Nathalie Berta, 2017. "On the definition of externality as a missing market," Post-Print hal-02095696, HAL.
    4. Nathalie Berta, 2016. "On the definition of externality as a missing market," Documents de travail du Centre d'Economie de la Sorbonne 16007, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.

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