Environmental taxation, information precision, and information sharing

نویسندگان

چکیده

We analyze how environmental taxes should be optimally levied in a sequential game which regulators and firms face costs uncertainties. First, the regulator chooses intensity of emissions to reduce externalities. Then, facing common private information with noisy signals, compete marketplace choose outputs. show that, under nonuniform quality signals across firms, may calibrate differentiated tax policy. also that social impact more precise hinges largely fundamentally on value ratio slopes marginal damage consumer surplus. Finally, we investigate sharing between polluters its impacts welfare. stress when there are threats severe damages deep uncertainties, collusion is welfare reducing jeopardize regulatory process. Regulators need set an appropriate precautionary Numerical simulations illustrate results model delivers.

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ژورنال

عنوان ژورنال: Journal of Public Economic Theory

سال: 2022

ISSN: ['1097-3923', '1467-9779']

DOI: https://doi.org/10.1111/jpet.12609