Performance of the ambient tax: does the nature of the damage matter?
Ahmed Ennasri () and
Marc Willinger ()
Working Papers from LAMETA, Universtiy of Montpellier
The ambient tax is often considered as an effcient instrument to achieve a rst best outcome of ambient pollution when the regulator is less informed than the polluters. Since the ambient tax was never imple- mented in the eld, empirical evidence is missing. Available experimental ndings provide mixed evidence: effciency is higher under external dam- age, i.e. if ambient pollution affects non-polluters (Spraggon, 2002, 2003) than under internal damage, i.e. if ambient pollution a¤ects polluters themselves (Cochard et al., 2005). Since these two types of experiments relied on very different designs, it is worthwhile to compare them under a common experimental design. Our main nding is that the ambient tax is equally effcient under external damage than under internal damage.
Pages: 27 pages
Date: 2011-12, Revised 2011-12
New Economics Papers: this item is included in nep-env and nep-exp
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http://www.lameta.univ-montp1.fr/Documents/DR2011-25.pdf First version, 2011 (application/pdf)
Journal Article: Performance of the Ambient Tax: Does the Nature of the Damage Matter? (2014)
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Persistent link: https://EconPapers.repec.org/RePEc:lam:wpaper:11-25
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