Calcul économique itératif et stratégique pour les négociations internationales sur les pluies acides entre la Finlande, la Russie et l'

Marc Germain, Philippe Toint and Henry Tulkens

Annals of Economics and Statistics, 1996, issue 43, 101-127

Abstract: A discrete time "resource allocation process" bearing on international negotiations relating to SO2 transfrontier pollution between Finland, Russia and Estonia is formulated here as a sequence of solutions to successive non linear programs. A novel assumption concerning local information on abatement and damage costs endogenously determines step sizes at each stage. The sequence is shown to converge in finite time towards the optimum. It also specifies financial transfers between the parties so as to ensure their voluntary cooperation in the game theoretic sense of the core concept.

Date: 1996
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Persistent link: https://EconPapers.repec.org/RePEc:adr:anecst:y:1996:i:43:p:101-127

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