Deregulation as an alternative policy measure of emission tax

• 발행기관: 한국재정학회(구 한국재정·공공경제학회)
• 저자명: Woohyung Lee Tohru Naito Ki-Dong Lee
• 간행물 정보: 『한국재정학회 학술대회 논문집』2016년도 추계학술대회 논문집, 1~17쪽, 전체 17쪽
• 주제분류: 경제경영 > 경제학
• 파일형태: PDF
• 발행일자: 2016.10.30

영문 초록

In this paper, we consider two kinds of environmental policy measures, one is emission taxation system and the other is market deregulation through allowance of a public firm’s entrance in the market. The research motivation is based on the idea whether an alternative policy measure instead of environmental taxation system exists or not. The main results are as follows. First, in the oligopoly market by private firms under emission taxation system, the firm has an incentive to choose clean technology even it bears additional abatement cost when k is large, and the social welfare under clean technology is higher than that under normal technology regardless of k. Second, mixed oligopoly is socially more desirable than emission taxation system under oligopoly with normal technology. However, only if the market is less competitive, a policy measure to make mixed oligopoly could be socially more desirable than emission taxation system under oligopoly with clean technology where k is low. Finally, environmental damage under mixed oligopoly is higher than that under clean technology while it is lower than that under normal technology. From these results, we can conclude that the alternative measure we thought is valid from the view point of social welfare even though the conditions are restrictive. Of course, it is possible let the private firm to make an effort for abating pollutant emission voluntarily through emission tax, this possibility is restrictive. We showed that this is possible only when k is high. When k is low, there are any incentives for the private firm to take a clean technology under emission taxation system. If it is true, changing the market from oligopoly to mixed oligopoly could be more effective policy measure.

목차

1. Introduction

2. The model

3. Effect of emission tax on the firm’s behavior

4. Mixed oligopoly: case M

5. Comparison

6. Concluding remarks

키워드

emission tax mixed oligopoly environmental damage pollution abatement