Voluntary Agreements Economics

Voluntary approaches to the environment, including negotiated environmental performance agreements with industry and public programs in which companies can voluntarily participate, are becoming increasingly popular in a number of countries. However, the OECD`s work calls into question its impact on the environment and its economic efficiency. Empirical studies on voluntary respect are relatively new and are gradually multiplying and fuelling theoretical discussions. Some documents, such as Arora and Cason (1995), examine the selection of companies that participate in voluntary, state-subsidized overcomponation programs, such as 33/50, sponsored by the U.S. Environmental Protection Agency. They find that companies that emit high toxic emissions are more likely to participate in this program. They see this result as a sign of hope, as these companies have the greatest potential to reduce emissions. This document contains taxonomy and models to help integrate the cost-effectiveness of voluntary environmental agreements (AVs) into the typical framework of environmental economics. The correction of externalities, as discussed so far in this chapter, has focused on government intervention in private markets through regulatory approaches such as taxation, authorities and standards. However, if the government works with objectives other than maximizing social welfare [Peltzman (1976)], there is no guarantee that state intervention will achieve social optimum. In addition, lipsey and Lancaster`s two best arguments (1956-1957) and the « double dividend » literature suggest that state intervention could reduce social welfare, even if the government`s objective is to improve well-being. It is therefore useful to consider other possible ways to achieve environmental protection. Two possibilities are voluntary environmental impact programs and the use of courts.

Perhaps the main influences on the paths and articulation in higher education are vast economic, technological and social changes. Increased national wealth allows governments to expand higher education and establish institutions in small population centres, greatly expanding access. The increase in personal and family wealth gives people and their children the resources and above all the desire to pursue a higher education. Improved and reduced transportation and communication costs make it much easier for students to study in institutions far from home.