Environmental enforcement with endogenous ambient monitoring

Laurent Franckx

Energy, Transport and Environment Working Papers Series from KU Leuven, Department of Economics - Research Group Energy, Transport and Environment

Abstract: This paper extends a previous analysis by Franckx (2001). We consider an inspection game between n polluting firms and an environmental enforcement agency. If the cost of monitoring ambient pollution is low enough, the optimal inspection policy consists in, on the one hand, imposing the maximal possible fine, and, on the other hand, mixing between observing ambient pollution and not conducting any inspection at all. However, with stringent upper limits on the fine, the agency mixes between observing ambient pollution and inspecting all firms. The observation of ambient pollution is always followed by sequentially rational firm inspections.

Keywords: environmental enforcement; ambient inspections; commitment (search for similar items in EconPapers)
JEL-codes: K42 Q20 (search for similar items in EconPapers)
Pages: 29 pages
Date: 2001-08
New Economics Papers: this item is included in nep-ene, nep-ent, nep-net and nep-res
References: Add references at CitEc
Citations:

Downloads: (external link)
http://feb.kuleuven.be/drc/Economics/misc/ete_workingpapers/ete-wp01-15.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://feb.kuleuven.be/drc/Economics/misc/ete_workingpapers/ete-wp01-15.pdf [301 Moved permanently]--> https://feb.kuleuven.be/drc/Economics/misc/ete_workingpapers/ete-wp01-15.pdf)

Related works:
Journal Article: Environmental Enforcement with Endogenous Ambient Monitoring (2005)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ete:etewps:ete0115

Access Statistics for this paper

More papers in Energy, Transport and Environment Working Papers Series from KU Leuven, Department of Economics - Research Group Energy, Transport and Environment Contact information at EDIRC.
Bibliographic data for series maintained by library EBIB ().