How the Doctor's Prescriptions May Fail : Environmental Policy Under Alternative Market Structures

Date

1996

Author

Roe, Terry L.
Yeldan, A. Erinç

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Existing applied modeling analyses of carbon taxation scenarios to reduce emissions of CO2 discharges have generally relied on perfectly competitive markets. It is argued in the current paper that, to the extent non-competitive producer behavior is prevalent in the modeled economy, environmental policies may fail in their objectives. Alternative pricing strategies are simulated in a computable general equilibrium model of the Turkish economy to highlight the sensitivity of environmental pollution abatement under different market structures.

URI

https://hdl.handle.net/11511/112640

Collections

Department of Economics, Article