Piercing the Veil of Uncertainty in Transboundary Pollution Agreements

@inproceedings{Kolstad2004PiercingTV,
  title={Piercing the Veil of Uncertainty in Transboundary Pollution Agreements},
  author={Charles D. Kolstad},
  year={2004}
}
This paper addresses the question of how uncertainty in costs and benefits affects the difficulty of reaching a voluntary agreement among sovereign states. A measure of “difficulty” is constructed relating to side-payments necessary to make an agreement a Pareto-improving move. Using a simple model, it is shown that uncertainty actually makes agreement easier. * Donald Bren Professor of Environmental Economics and Policy, Bren School of Environmental Science and Management and Department of… CONTINUE READING

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