Abstract
In this paper our concern is with deforestation as a global environmental issue. Foreign transfers from developed countries to forestry countries have been proposed for this goal. The problem is formulated as a Stackelberg differential game played over an infinite horizon, with the donor community as the leader and the aid recipient country as the follower. We consider different transfer mechanisms through which the donor community subsidizes the forestry country. We compare the results both from the environmental and economic points of view.
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Martín-Herrán, G., Tidball, M. (2005). Transfer Mechanisms Inducing a Sustainable Forest Exploitation. In: Deissenberg, C., Hartl, R.F. (eds) Optimal Control and Dynamic Games. Advances in Computational Management Science, vol 7. Springer, Boston, MA. https://doi.org/10.1007/0-387-25805-1_6
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DOI: https://doi.org/10.1007/0-387-25805-1_6
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