Seminars & webinars
17 October 2013

Commitment to Environmental Taxation under R&D Competition


Where: Venice
Location:

Fondazione Eni Enrico Mattei
Isola di San Giorgio Maggiore
30124 Venice

***
Video-conference
at FEEM Milan

How to reach: Google map
Event's Timetable:


h. 12.00 Seminar

Information:

Seminars Office, seminars@feem.it

Speaker:


Anna Creti, Université Paris Dauphine and Ecole Polytechnique, Paris, France

Abstract

One of the main arguments behind environmental regulation is that it provides incentives to adopt more efficient abatement technologies. In this paper we compare different commitment tax schemes in terms of adoption and efficiency when accounting for a non-competitive R&D sector that offers two technologies with differentiated value both in terms of quality and adaptability to polluting firms. Our modelling choice is inspired by the Californian Green Chemistry Initiative and responds to the need to analyze the role of environmental regulation in complex R&D market structures. In contrast with Parry (1995) and Requate (2005), our main result is that the ex ante second best tax may be higher or lower than pollution marginal damage. Moreover, we are the first to characterize how commitment to environmental taxes determines the strategies of R&D firms, which in turn determines the adoption pattern of the most efficient abatement technology.

JEL Classification: L5, Q2, Q28
Key words: environmental innovation, tax, R&D competition

Download file
Download PDF file
Download file
Download PDF file
Commitment to Environmental Taxation under R&D Competition

FEEM Newsletter

Subscribe to stay connected.

Your personal data will be processed by Fondazione Eni Enrico Mattei. – data Controller – with the aim of emailing the FEEM newsletter. The use of Your email address is necessary for the implementation of the newsletter service. You are invited to read the Privacy Policy in order to obtain additional information about the protection of Your rights.

This Website uses technical cookies and cookie analytics, as well as “third party” profiling cookies.
If you close this banner or you decide to continue navigating on this Website, you express consent to the use of cookies. If you need additional information or you wish to express selective choices on the use of cookies, please refer to the   Cookie PolicyI agree