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On the Political Economy of Environmental Policy

Gebhard Kirchgässner
Universität St. Gallen; CESifo (Center for Economic Studies and Ifo Institute for Economic Research)

Friedrich Schneider
Johannes Kepler University - Department of Economics; CESifo (Center for Economic Studies and Ifo Institute for Economic Research); Institute for the Study of Labor (IZA)

June 2002

CESifo Working Paper Series No. 741; U of St. Gallen Econ. Working Paper No. 2001-20

Abstract:
In the past there was hardly any use of economic instruments in environmental policy, mainly command and control measures were used. More recently, ecological taxes as well as tradable permits became more popular and voluntary agreements have been implemented. Using the Public Choice approach we ask for the reasons of this wider acceptance of economic instruments. We conclude that the use of market based instruments in environmental policy has not increased very much and their impact on the actual situation is still rather low, but there is hope of at least some increase in the future.

Keywords: Environmental Policy, Ecological Taxes, Tradable Permits, Voluntary Agreements, Voting Behaviour, Public Bureaucracy, Interest Groups

JEL Classifications: Q00

Working Paper Series

Date posted: January 29, 2002 ; Last revised: September 01, 2004

Suggested Citation

Kirchgässner, Gebhard and Schneider, Friedrich G., On the Political Economy of Environmental Policy (June 2002). CESifo Working Paper Series No. 741; U of St. Gallen Econ. Working Paper No. 2001-20. Available at SSRN: http://ssrn.com/abstract=298152

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Contact Information

Gebhard Kirchgaessner (Contact Author) Universität St. Gallen ( email ) SIASR, Institutsgebaeude Dufourstr. 48 CH-9000 St.Gallen Switzerland +41 71 224 23 40 (Phone) +41 71 224 22 98 (Fax)
CESifo (Center for Economic Studies and Ifo Institute for Economic Research) Poschinger Str. 5 DE-81679 Munich Germany
Friedrich G. Schneider Johannes Kepler University - Department of Economics ( email ) Altenbergerstrasse 69 A-4040 Linz 4040 Austria +43 732 2468 0 (Phone) +43 732 2468 10 (Fax)
CESifo (Center for Economic Studies and Ifo Institute for Economic Research) Poschinger Str. 5 DE-81679 Munich Germany HOME PAGE: http://www.CESifo.de
Institute for the Study of Labor (IZA) P.O. Box 7240 D-53072 Bonn Germany

Abstract

References (87)

Date posted: January 29, 2002 ; Last revised: September 01, 2004

Suggested Citation

Contact Information

Gebhard Kirchgaessner (Contact Author)

Friedrich G. Schneider