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Year 2014, Volume: 4 Issue: 3, 501 - 513, 01.09.2014
https://izlik.org/JA76ZM67JG

Abstract

Transboundary Pollution, R&D Spillovers, Absorptive Capacity and International Trade

Year 2014, Volume: 4 Issue: 3, 501 - 513, 01.09.2014
https://izlik.org/JA76ZM67JG

Abstract

In this paper, we study the effects of absorptive capacity and R&D spillovers on cross-border pollution in a game played by two regulator-firm hierarchies. By means of a tax per-unit of pollution, a subsidy per-unit of original research and a subsidy per-unit of absorptive research, the regulators can reach the first-best outcome. We show that, in addition to free R&D spillovers and absorptive research, competition of firms on the common market help non-cooperating countries to better internalize transboundary pollution. More importantly, opening borders increase the per-unit emission-tax and decrease the per-unit original research subsidy. Thus, when the investment-cost parameters are sufficiently high, the international trade increases the original research, production. Consequently, the emission ratio is lower.

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Details

Primary Language English
Subjects Economics
Other ID JA89YG46CA
Journal Section Conference Paper
Authors

Zeineb Dinar This is me

Publication Date September 1, 2014
IZ https://izlik.org/JA76ZM67JG
Published in Issue Year 2014 Volume: 4 Issue: 3

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APA Dinar, Z. (2014). Transboundary Pollution, R&D Spillovers, Absorptive Capacity and International Trade. International Journal of Economics and Financial Issues, 4(3), 501-513. https://izlik.org/JA76ZM67JG
AMA 1.Dinar Z. Transboundary Pollution, R&D Spillovers, Absorptive Capacity and International Trade. IJEFI. 2014;4(3):501-513. https://izlik.org/JA76ZM67JG
Chicago Dinar, Zeineb. 2014. “Transboundary Pollution, R&D Spillovers, Absorptive Capacity and International Trade”. International Journal of Economics and Financial Issues 4 (3): 501-13. https://izlik.org/JA76ZM67JG.
EndNote Dinar Z (September 1, 2014) Transboundary Pollution, R&D Spillovers, Absorptive Capacity and International Trade. International Journal of Economics and Financial Issues 4 3 501–513.
IEEE [1]Z. Dinar, “Transboundary Pollution, R&D Spillovers, Absorptive Capacity and International Trade”, IJEFI, vol. 4, no. 3, pp. 501–513, Sept. 2014, [Online]. Available: https://izlik.org/JA76ZM67JG
ISNAD Dinar, Zeineb. “Transboundary Pollution, R&D Spillovers, Absorptive Capacity and International Trade”. International Journal of Economics and Financial Issues 4/3 (September 1, 2014): 501-513. https://izlik.org/JA76ZM67JG.
JAMA 1.Dinar Z. Transboundary Pollution, R&D Spillovers, Absorptive Capacity and International Trade. IJEFI. 2014;4:501–513.
MLA Dinar, Zeineb. “Transboundary Pollution, R&D Spillovers, Absorptive Capacity and International Trade”. International Journal of Economics and Financial Issues, vol. 4, no. 3, Sept. 2014, pp. 501-13, https://izlik.org/JA76ZM67JG.
Vancouver 1.Zeineb Dinar. Transboundary Pollution, R&D Spillovers, Absorptive Capacity and International Trade. IJEFI [Internet]. 2014 Sep. 1;4(3):501-13. Available from: https://izlik.org/JA76ZM67JG