Environmental rights on the futures markets an application to the dutch manure market

J. Pennings, M. Meulenberg and W. Heijman
Authors registered in the RePEc Author Service: Joost M.E. Pennings () and Johannes M. Pennings

Environmental & Resource Economics, 1996, vol. 7, issue 1, 79-94

Abstract: A study was carried out to analyze futures markets for tradable rights after a cash market was initiated. Furthermore, some indication was given on the size of such a futures market to provide insight into its viability. Futures markets can play a role in solving environmental problems, by making the market for pollution rights (i.e. P 2 O 5 rights) and agro rights (milk rights, sugar rights and P 2 O 5 rights) more effective and transparent. Moreover, the market for tradable rights would be able to meet the users' need for hedging. This paper investigated the possibility of introducing a futures markets for tradable P 2 O 5 rights and the commodity manure. Because there is already a cash market for manure, although not well developed yet, and there will be a cash market for P 2 O 5 rights, a futures market is a logical sequel. The futures market can play a role in implementing agricultural policy efficiently and with respect to manure and P 2 O 5 rights can be an economically efficient solution to environmental problems. Copyright Kluwer Academic Publishers 1996

Keywords: Environmental rights; tradable permits; manure; futures markets (search for similar items in EconPapers)
Date: 1996
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://hdl.handle.net/10.1007/BF00420428 (text/html)
Access to full text is restricted to subscribers.

Related works:
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:kap:enreec:v:7:y:1996:i:1:p:79-94

Ordering information: This journal article can be ordered from
http://www.springer. ... al/journal/10640/PS2

DOI: 10.1007/BF00420428

Access Statistics for this article

Environmental & Resource Economics is currently edited by Ian J. Bateman

More articles in Environmental & Resource Economics from Springer, European Association of Environmental and Resource Economists Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().