October 17, 2010

Valuing Equally the Environmental Goods in Rich and Poor Countries in a Post-Kyoto World

by Dritan Osmani

- The optimal pollution abatement levels are found by maximizing global social welfare in a permit and no-permit trade systems under the constrain that environmental goods are evaluated equally in rich and poor countries. One finding is that in a Post-Kyoto world, the optimal abatement levels of poor countries have to be significantly big, if we aim to evaluate equally the environmental goods in poor and rich countries. Furthermore, in a permit trade system, if we plan big amount emission reductions then, it can happen that poor countries have to carry out higher emission reductions than rich ones.

Osmani, D. (2010). "Valuing Equally the Environmental Goods in Eich and Poor Countries in a Post-Kyoto World." Working Paper FNU-190, Hamburg University and Centre for Marine and Atmospheric Science, Hamburg
Aug 2010.