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Effects of Transboundary Pollution on the Mode of International Trade of a Polluting Good *
Author(s) -
Fujiwara Kenji,
Matsueda Norimichi
Publication year - 2009
Publication title -
review of international economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.513
H-Index - 58
eISSN - 1467-9396
pISSN - 0965-7576
DOI - 10.1111/j.1467-9396.2008.00792.x
Subject(s) - spillover effect , oligopoly , competition (biology) , economics , mode (computer interface) , international economics , pollution , international trade , marginal cost , cournot competition , microeconomics , ecology , biology , computer science , operating system
By analyzing a strategic interaction between environmentally‐concerned governments, we examine how the competition mode of international polluting oligopoly is determined. We show that a resulting form of competition depends on the magnitudes of marginal damage costs and cross‐border spillover as well as on the degrees of similarities in these environment‐related parameters.