Abstract
This paper provides a model that attempts to deal with the transboundary nature of the acid rain problem, using a game theoretic approach consistent with mainstream economic theory. The general forms of cooperative and non cooperative equilibria in explicit and implicit set-up of the model are presented under the assumptions of complete and incomplete information.
Similar content being viewed by others
References
Amann, M. and Sorensen, L. (1991)The Energy and Sulphur Emission Database of the RAINS Model, International Institute for Applied Systems, 46 pp, Laxenbourg, Austria.
European Monitoring and Evaluation Program (EMEP, 1993)Airborne Transboundary Transport of Sulphur and Nitrogen over Europe: Model Description and Calculations, Meteorological Synthesizing Centre-West, The Norwegian Meteorological Institute, EMEP/MSC-W Report 1/93 (July, 1993).
Halkos, G. E. (1992)Economic Perspectives of the Acid Rain Problem in Europe; D. Phil Thesis, Department of Economics and Related Studies, University of York.
Halkos, G. E. (1993) ‘Sulphur Abatement Policy: Implications of Cost Differentials’,Energy Policy 21, 1035–1043.
Halkos, G. E. (1994) ‘Optimal Abatement of Sulphur in Europe’,Environmental and Resource Economics 4, 127–150.
Halkos, G. E. and Hutton, J. P. (1993)Acid Rain Games in Europe, Discussion Paper 9312, Department of Economics and Related Studies, University of York.
Halkos, G. E. and Hutton, J. P. (1994),Optimal Acid Rain Abatement Policy for Europe: An Analysis for the Year 2000, Discussion paper 9403, Department of Environmental Economics and Environmental Management, University of York.
IEA (1990),Growth in the Capacity of deSOx plants in Europe, International Energy Agency Coal Research, London.
IIASA (1993)Options: IIASA's Project on Tranboundary Air Pollution, International Institute for Applied Systems, Winter 1993, pp 6–7.
Kaitala, V., Pohjola, M., and Tahnonen, O. (1992) ‘Transboundary Air Pollution and Soil Acidification: A Dynamic Analysis of an Acid Rain Game between Finland and the USSR’,Environmental and Resource Economics,2, 167–181.
Klaasen, G. (1993) ‘Trade-Offs in Emission Trading’, Paper presented at the ConferenceEconomic Instruments for Air Pollution Control, organized by the International Institute for Applied Systems, Laxenburg Austria, October 18–20.
Maler, K. G. (1989) ‘The Acid Rain Game: Valuation, Methods and Policy Making in Environmental Economics’, in H. Folmer and E. Ierland (eds.),Valuation Methods and Policy Making in Environmental Economics, Chapter 12, Blackwell.
Maler, K. G. (1990) ‘International Environmental Problems’,Oxford Review of Economic Policy,6, 80–107.
Newbery, D. (1990) ‘Acid Rain’,Economic Policy 11, 297–346.
Tahvonen, O., Kaitala, V., and Pohjola, M. (1993) ‘A Finnish-Soviet Acid Rain Game: Non-Cooperative Equilibria, Cost Efficiency and Sulphur Agreements’,Journal of Environmental Economics and Management 24, 87–100.
Vernon, J. L. (1989)Market Impacts of Sulphur Control: The Consequences for Coal, IEA Coal Research, October 1989, London, 119 pp.
Vernon, J. L. (1990)Market Impacts of Sulphur Control: Impacts on the Coal Industry, IEA Coal Research, IEACR/27, London.
Author information
Authors and Affiliations
Rights and permissions
About this article
Cite this article
Halkos, G.E. Incomplete information in the acid rain game. Empirica 23, 129–148 (1996). https://doi.org/10.1007/BF00925336
Issue Date:
DOI: https://doi.org/10.1007/BF00925336