Spatialisation of incentive-based instruments for pollution control: 50 years of economic theory

François Destandau
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François Destandau: SAGE - Sociétés, acteurs, gouvernement en Europe - ENGEES - École Nationale du Génie de l'Eau et de l'Environnement de Strasbourg - UNISTRA - Université de Strasbourg - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, ENGEES - École Nationale du Génie de l'Eau et de l'Environnement de Strasbourg

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Abstract: The question of spatially differentiated pollution policies first appeared in the economic literature in the early 1970s. For the past 50 years, economists have considered how best to introduce location-specific pollution policies such as Pigovian taxes or tradable permits, and on the basis of which site-specific attributes (polluter characteristics, pollution diffusion, environmental objective, etc.). This article reviews the questions raised and the theoretical results obtained. The central question is when to take account of the local characteristics and when to apply a uniform policy. Through this question, the authors seek to improve environmental policies to fight pollution more effectively.

Keywords: Spatialized Regulation; Pollution; Tradable Permits; Pigovian Taxation; Spatialized Regulation Pollution Tradable Permits Pigovian Taxation (search for similar items in EconPapers)
Date: 2025
Note: View the original document on HAL open archive server: https://hal.science/hal-05156444v1
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Published in Spatial Economic Analysis, 2025, ⟨10.1080/17421772.2025.2512256⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-05156444

DOI: 10.1080/17421772.2025.2512256

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