search query: @author Kotchen, M.J. / total: 3
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| Author: | Kotchen, M.J. |
| Title: | Voluntary provision of public goods for bads: A theory of environmental offsets |
| Journal: | Economic Journal
2009 : APR, VOL. 119:537, p. 883-899 |
| Index terms: | public goods welfare environment markets theories models |
| Freeterms: | emission control |
| Language: | eng |
| Abstract: | This study explores voluntary provision of a public good (henceforth as: p-g.) that is motivated, partly, to compensate for activities reducing the p-g. Markets for environmental offsets, e.g. those promoting carbon neutrality, provide an increasingly salient example. An important result is that mean donations do not converge to zero as the economy grows large. The equilibrium is solved to show how direct donations and net contributions depend on wealth and heterogeneous preferences. Using comparative static analysis, it is shown how p-g. provision and social welfare depend on the technology, individual wealth and an initial level of the p-g. |
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