Information Disclosure Under Different Modes of Regulation
Fabio Antoniou (),
Phoebe Koundouri () and
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Fabio Antoniou: Athens University of Economics and Business
No 1015, DEOS Working Papers from Athens University of Economics and Business
In this study we assume that the governments are uncertain about the future product demand in a standard eco-dumping model. Allowing the governments to obtain information from firms, we examine governments.and .rms.incentives to share information. We show that, when the governments regulate the polluting .rms through emission standards, then, the governments and the .rms will reach an agreement concerning information sharing. The opposite holds, when the governments regulate pollution through emission taxes.
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