Distribution of decarbonization costs and externality regulation

The transformation of the economy to a low-carbon level is constrained by high costs and problem balancing interests in distribution these among participants. paper proposes use corporate game theory, particular Shapley value, for cost allocation. In contrast classical division additional utility cooperative games, this case are divided, concave function minimized. value coordinates determine center gravity multidimensional figure possible distributions associated with formal representation fairness without taking into account financial opportunities additional, historically established conditions. A comparative analysis two approaches (carbon tax carbon credits) managing negative externalities shows that it preferable base allocation credits. Both emissions regulation institutional barriers economy: development national institutions, achievement international agreements face economic competition political confrontation, lack objective information. authors come conclusion can contribute formation quotas reduce decarbonization.