A solution for external costs beyond negotiation and taxation

Alexandre Magno de Melo Faria and Helde A. D. Hdom

Papers from arXiv.org

Abstract: This article aims to launch light on the limitations of the Coase and Pigou approach in the solution of externalities. After contextualizing the need for integration of ecological and economic approaches, we are introducing a new conceptual proposal complementary to conventional economic approaches. Whose process is guaranteed by a set of diffuse agents in the economy that partially reverses entropy formation and marginal external costs generated by also diffuse agents? The approach differs in six fundamentals from traditional theory and proposes a new way of examining the actions of agents capable of reducing entropy and containing part of external costs in the market economy.

Date: 2022-10, Revised 2022-10
New Economics Papers: this item is included in nep-env, nep-hme and nep-pub
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