Title
Modeling transactions costs in a regional transferable discharge permit system for phosphorus runoff
Abstract
This paper examines the construction and implementation of a regional transferable discharge permit system for phosphorus runoff from agricultural-related sources. The impact on behavior at the firm level is also examined. Results indicate that firms may respond to binding environmental constraints by both engaging in the trade of discharge permits and decreasing the output that can cause phosphorus runoff. The criticisms within the literature of building transferable discharge permit systems that ignore transactions costs are also addressed.
Department(s)
Economics
Document Type
Article
DOI
https://doi.org/10.22004/ag.econ.143774
Publication Date
12-1-2012
Recommended Citation
Mitchell, David M., and Keith Willett. "Modeling transactions costs in a regional transferable discharge permit system for phosphorus runoff." Journal of Regional Analysis & Policy 42, no. 2 (2012): 126-138.
Journal Title
Journal of Regional Analysis and Policy
