Article ID: | iaor19951385 |
Country: | Switzerland |
Volume: | 54 |
Issue: | 1 |
Start Page Number: | 237 |
End Page Number: | 262 |
Publication Date: | Feb 1995 |
Journal: | Annals of Operations Research |
Authors: | Schfer Martin |
Keywords: | game theory |
This paper provides some differential game models of natural resource exploitation when environmental pollution takes place. The ‘classical’ approach to determine optimal harvest rates of renewable resources utilizes Optimal Control models, i.e. there is either a monopolistic market structure or there is pure competition. In case of pollution, however, all agents can be put together, forming the groups of the resource harvesters on one side and of polluters on the other side. So differential games can be used to analyze environmental problems. The models introduced in this paper are put together in order to show