Work

Market Structures for U.S. Water Quality Trading

Year: 2002

Type: article

Abstract: The use of transferable discharge permits as a water pollution control policy is rapidly increasing in the United States. Drawing on evidence from existing water quality trading programs, this paper provides a taxonomy of the forms that such markets take. Four main structures are identified: exchanges, bilateral negotiations, clearinghouses, and sole-source offsets. Each of these structures has its own strengths and weaknesses; none is optimal for all scenarios. Since market structure is largely determined by a program's rules, policy makers should be aware of the differences between these structures and the conditions under which each comes to be.

Source: Review of Agricultural Economics

DOI: 10.1111/1467-9353.00025

Authors: Richard T. Woodward, Ronald A. Kaiser

Institution: Texas A&M University

Language: English

Topic: Climate Change Policy and Economics

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDG: Clean water and sanitation

Open Access status: green

OpenAlex ID: W1985755435

FWCI: 4.068

Cites: 22

Cited by: 86

Related to: 10