Arbeitspapier
Potentially harmful international cooperation on global public good provision
Recent international climate negotiations suggest that complete agreements are unlikely to materialize. Instead, partial cooperation between like-minded countries appears a more likely outcome. In this paper we analyze the effects of such partial cooperation between like-minded countries. In doing so, we link the literature on partial cooperation with so-called matching approaches. Matching schemes are regarded as providing a promising approach to overcome undersupply of public goods like climate protection. The functioning of matching mechanisms in a setting with an incomplete agreement, i.e. a contract where only a subset of the players participates, has however not been investigated yet. This paper fills this research gap by analyzing incomplete matching agreements in the context of international climate protection. We analyse their effect on both welfare and the global climate protection level. We show that matching coalitions may bring about a decline in global public good provision and a reduction in the welfare of outsiders.
- Language
-
Englisch
- Bibliographic citation
-
Series: CESifo Working Paper ; No. 3891
- Classification
-
Wirtschaft
Bargaining Theory; Matching Theory
Public Goods
Climate; Natural Disasters and Their Management; Global Warming
- Subject
-
coalition formation
public goods
matching
Pareto optimality
partial cooperation
Klimaschutz
Umweltabkommen
Internationale Zusammenarbeit
Verhandlungen
Matching
Öffentliches Gut
Pareto-Optimum
Theorie
- Event
-
Geistige Schöpfung
- (who)
-
Buchholz, Wolfgang
Cornes, Richard
Rübbelke, Dirk
- Event
-
Veröffentlichung
- (who)
-
Center for Economic Studies and ifo Institute (CESifo)
- (where)
-
Munich
- (when)
-
2012
- Handle
- Last update
-
10.03.2025, 11:44 AM CET
Data provider
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Buchholz, Wolfgang
- Cornes, Richard
- Rübbelke, Dirk
- Center for Economic Studies and ifo Institute (CESifo)
Time of origin
- 2012