Failures in adopting green technology under perfect pollution pricing and monopoly
Andrew Davis ()
International Review of Economics Education, 2017, vol. 26, issue C, 9-13
The regulation of environmental externalities via pollution pricing is a mainstay of many environmental economics texts. Internalizing the cost of pollution leads firms to reduce output to the efficient quantity. However, firms often make decisions other than quantity, such as a choice of which technology to use in production, and studying these choices is often mathematically challenging for undergraduates.
Keywords: Externalities; Green technology; Environmental economics; Monopoly; Imperfect competition (search for similar items in EconPapers)
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