Environmental Economics: An Integrated Approach -- Chapter 3: The Economy and the Environment: The Case of Optimal Controls
Philip E. Graves
University of Colorado at Boulder - Department of Economics
November 9, 2010
Forthcoming CRC Taylor & Francis book
This is the second substantive chapter (after the introductory Chapter 1) for a new environmental economics book (Environmental Economics: An Integrated Approach) which will integrate the economic system and the environmental system. The preceding Chapter 2 considered household and firm behavior when they had no incentives to be concerned about residual discharges into the environment. In the present chapter, optimal controls are introduced under the presumption, later to be relaxed, that the regulatory agency has perfect information on tastes and technology. The analysis of the economic and environmental system will remain joined throughout the text.
Number of Pages in PDF File: 13
Keywords: Environmental Economics
JEL Classification: Q00, Q5, Q51, Q52, Q53, Q58Accepted Paper Series
Date posted: November 11, 2010 ; Last revised: March 11, 2013
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