Arbeitspapier

Nonlinear production, abatement, pollution and materials balance reconsidered

In the environmental economics literature the standard approach of modeling nonlinear production and abatement processes is to treat waste emissions "simply as another factor of production" (Cropper and Oates 1992). That approach doesn't map the materials flow involved completely and hides, moreover, the exact links between production, residuals generation and abatement. This paper shows that production functions with emissions treated as inputs can be reconstructed as a subsystem of a comprehensive production-cum-abatement technology that is in line with the materials-balance principle. In a simple economy with full regard of the materials flow it also explores the consequences for allocative efficiency and efficiency-restoring taxation of multiple and interdependent residuals generated in the transformation processes of production, abatement and consumption. Finally, the paper demonstrates that efficiency may require setting the emissions tax rate above or below conventionally defined marginal abatement cost if the residual subject to abatement is not the only residual causing pollution.

Sprache
Englisch

Erschienen in
Series: CESifo Working Paper ; No. 1549

Klassifikation
Wirtschaft
Environmental Economics: General
Pollution Control Adoption and Costs; Distributional Effects; Employment Effects
Thema
residuals
abatement
pollution
materials balance
Industrielle Umweltbelastung
Stoffstrom-Management
Produktionsfunktion
Allokationseffizienz
Theorie

Ereignis
Geistige Schöpfung
(wer)
Pethig, Rüdiger
Ereignis
Veröffentlichung
(wer)
Center for Economic Studies and ifo Institute (CESifo)
(wo)
Munich
(wann)
2005

Handle
Letzte Aktualisierung
20.09.2024, 08:24 MESZ

Datenpartner

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ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Pethig, Rüdiger
  • Center for Economic Studies and ifo Institute (CESifo)

Entstanden

  • 2005

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