English, Article, Journal or magazine article edition: ENVIRONMENTAL PROTECTION WITH POLICIES FOR SALE Schleich, Joachim

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Bookmark: http://trove.nla.gov.au/version/148945
Physical Description
  • preprint
Language
  • English

Edition details

Title
  • ENVIRONMENTAL PROTECTION WITH POLICIES FOR SALE
Author
  • Schleich, Joachim
Physical Description
  • preprint
Notes
  • This paper generalizes the Grossman-Helpman political economy model to characterize the structure of environmental and industry protection for a small open economy when domestic and/​or trade policies are the outcome of a noncooperative common agency game between sector-specific producer lobbies and the government. For a consumption externality, the political equilibrium results if domestic and trade policies are available, are production-enhancing protection of organized industries, but the same environmental protection as Pigouvian taxes. Subsidies to organized industries counterbalance environmental taxes when there is a production externality, and it is ambiguous whether domestic or trade policy alone leads to more environmental protection. In addition, this paper demonstrates that the original Grossman-Helpman results arise as a special case that rests on the assumption that only trade policies are available to the government.
  • Environmental Economics and Policy,
  • RePEc:ags:iatrwp:51207
Language
  • English
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