Environmental Markets
Environmental Econ (ECON 415) Assignment: In approximately 500 words, summarize the arguments made in chapters 5-8 in Environmental Markets, by Terry Anderson and Gary Libecamp. In your summary, be sure to address the answers to these questions: • What are the features that make for successful environmental markets? • What are some examples of groups that have created environmental markets? • What are some difficulties faced by property-rights based environmental markets? • What are some issues with command and control regulations that are the typical alternative to markets? To Submit: Write your summary in a Word document. Save that document to your own files. Go to the “Reading Assignments Tab” for our course in Moodle. Click “Anderson and Libecamp Ch 5-8 Submission” to upload your work. Grading: • A+ Shows deeper understanding. Paper will be clear, concise and correct. • A- The paper is technically correct but quotes heavily from the authors. • B+ The paper is unclear and does not show a full understanding of the reading • B- The paper is unclear and has errors in some places. • C+ The paper is unclear, has errors, is too short to fully describe the reading. • C- The paper is unclear and has errors. There is little correct analysis of the reading. • D The paper shows little effort was given to the assignment. It is wrong and unclear in many places. Tips for reading academic papers: 1. Read the first sentence of each paragraph. 2. Read the entire chapter. Citation: Anderson and Libecap. (2014) Environmental Markets. Cambridge University Press.
Environmental Markets
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Environmental Markets
Reading through chapters 5 to eight of the text Environmental Markets by Terry Anderson and Gary Libecamp, the authors highlight different factors that make a successful environmental market. The first factor is achieving property rights protection. Property rights protection helps prevent regulatory takings, which in turn promotes an achievement of environmental equity in the markets. Environmental markets are local, and the limited number of people, including buyers and sellers, that have environmental problems allows information to flow easily, reducing distribution conflicts (Anderson & Libecap, 2014). The second feature is using rights linked with the cap and trade systems. These systems must refrain from being exposed to bureaucratic manipulations because they will hinder the successful operation of environmental markets. Quality issues have to be met even though they are greater globally, but the highlighted factors have