Focus of this work is on the contract known as actions-incentive. We suppose it applies to a group of producing farmers of a positive externality. This externality is perceived as a public asset which the society wishes to remunerate. When then analyse the pros and cons and the conditions...

This note focuses on the design of prevention programmes and the role of tort law regarding the control of risky activities, associated with unknown or imperfectly known risks, such as innovation or (long term) environmental damages. Together with the existence of perception bias on the side of...

This note focuses on the design of prevention programmes and the role of tort law regarding the control of risky activities, associated with unknown or imperfectly known risks, such as innovation or (long term) environmental damages. Together with the existence of perception bias on the side of...

We model the safety net problem as a social dilemma game involving moral hazard, risk taking and limited liability. The safety net game is compared to both an individual decision task involving full liability and the deterministic public goods game. We report experimental data to show that...

We examine the effect of endogenous and exogenous risk on the equilibrium (expected) membership of an International Environmental Agreement when countries are risk averse. Endogenous risk arises when countries use mixed rather than pure strategies at the participation game, and exogenous risk...

Strategies of international risk management, as the implementation of tradable emission permits, feed back to the incentive structure of a treaty, like the Kyoto Protocol. Discussing the Kyoto Protocol the question was: Should there be any restrictions on the trading of emission permits or not?...

When abatement costs are uncertain, but correlated, and a country becomes pri-vately informed that costs are low, then unilateral actions serve as a signalling devise to reveal low costs and unilateral actions have the potential to trigger positive responses abroad. However, the country engaging...