Optimal emission tax with endogenous location choice of duopolistic firms

Arbeitspapier

This paper explores optimal environmental tax policy under which duopoly firms strategically choose the location of their plants in a simple three-stage game. We examine how the relationship between the optimal emission tax and the choice of location of duopoly firms affects the welfare of the home country. We characterize the relationship between the optimal emission tax and the fixed cost, depending on the degree of environmental damage from production. Finally, we show the existence of asymmetric equilibrium in which either firm chooses relocation of its plant even if the duopoly firms are identical ex ante.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: ISER Discussion Paper ; No. 762

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Taxation and Subsidies: Externalities; Redistributive Effects; Environmental Taxes and Subsidies ; Oligopoly and Other Imperfect Markets
• Thema: Environmental policy ; Relocation ; Welfare ; Ökosteuer ; Optimale Besteuerung ; Betriebliche Standortwahl ; Duopol ; Theorie

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Ikefuji, Masako ; Itaya, Jun-ichi ; Okamura, Makoto
• Ereignis: Veröffentlichung
• (wer): Osaka University, Institute of Social and Economic Research (ISER)
• (wo): Osaka
• (wann): 2009

Weitere Informationen

• Handle: http://hdl.handle.net/10419/92780
• Letzte Aktualisierung: 10.03.2025, 11:44 MEZ