A game-theoretic formulation of joint implementation of environmental projects

A game-theoretic formulation of joint implementation of environmental projects

0.00 Avg rating0 Votes
Article ID: iaor20063450
Country: Netherlands
Volume: 168
Issue: 1
Start Page Number: 221
End Page Number: 239
Publication Date: Jan 2006
Journal: European Journal of Operational Research
Authors: , ,
Keywords: game theory
Abstract:

The aim of this paper is to provide a game-theoretic interpretation of joint implementation in environmental projects and to assess the merit of such a strategy. More specifically, we consider a two-player game and solve it under three different cases. In the first case, countries play a non-cooperative game and optimize their welfare under an environmental constraint without having access to joint implementation (JI). In the second case, we assume countries do have access to JI, which allows us to assess its merits by comparing the players' welfare levels achieved with and without JI. In the last case, the players jointly optimize their welfare under a collective environmental constraint. Comparing welfare levels in this case to those in the second case allows us to assess the merits of cooperation.

Reviews

Required fields are marked *. Your email address will not be published.