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Vol 23 No 11 Nov/Dec 2018

Book of the Month

Cover of Paget's Law of Banking

Paget's Law of Banking

Edited by: John Odgers, Pagets
Price: £559.99

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Designing International Environmental Agreements

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Carsten SchmidtUniversity of Konztanz, Germany

ISBN13: 9781840643527
ISBN: 1840643528
Published: September 2000
Publisher: Edward Elgar Publishing Limited
Format: Hardback
Price: £90.00

The international character of today's most pressing environmental problems has become a key challenge for environmental policy-making. This study combines two core dimensions of international environmental policy: the traditional search for cost-effective policy instruments and the creation of incentives for voluntary co-operation among sovereign nations. The analysis offers some policy recommendations for the design of environmental treaties and for the further development of existing international institutions to protect the global environment.

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International environmental problems: natural scientific framework; the history of global environmental policy; theoretical framework. Cost-effectiveness: the concept of cost-effectiveness; cost-effectiveness when countries differ in size; empirical relevance in case of carbon emissions; cost-effective policy instruments. Incentive compatibility: the choice of the internalization instrument; internal stabilization; external stabilization; unilateral measures; flexibility and framework provisions; conclusions. Enforcement and side payments: the model; an enforceable agreement with side payments; the case of three countries; conclusions. Financing incremental abatement costs under asymmetric information: agreements under perfect information; signalling incentives; transfers in the separating equilibrium; transfers in the pooling equilibrium; conclusions. Institutions for the global environment: the global environment facility; the Montreal Protocol Unilateral Fund; joint implementation. Summary and outlook: the scope and results of the study; future directions in international environmental policy.