Research On Establishment Of Tradable Emission Permits Market In China And Duopoly Trade

With the development of Chinese reform and opening and the improvement of socialistic marketing economic system, there is a great increase in GNP and people's living level. However, environment problems stand out and become much more serious along with the increase of economy. Therefore, it is an international and national focus on probing a new pollution controlling system with low cost and efficient use of capitals. This thesis takes advantages of related theories such as Environment Science, Game Theory, Welfare Economics and System Economics, etc, to probe into theoretical and practical feasibility of the new environment economicsystem-- tradable emission permits in China with American experience forreference. The investigation consists of the following five parts:The first part analyzes Chinese current environmental pollution situations and problems existing in environment economic strategy. The states of tradable emission permits at home and broad are discussed combining of American successful experience in tradable emission permits. The necessity of tradable emission permits research in China is proposed.The second part, based on Property Right Theory, Externality, Coase Theorem and Pareto Efficiency in environment economics and microeconomics, presents tradable emission permits under the total emission controlling conditions. A further analysis is carried on environmental resource allocation optimization of tradable emission permits and dealing cost effects using formulas and graphs.The third part attempts to take use of game theory to set up Cournot repeated game model with unlimited times under the condition of duopoly to discuss balance dealing of tradable emission permits and analyze fixing prices strategy for duopoly enterprise mutual benefits. Some creative ideas are brought forward focusing on the behaviors of manipulating permits price by duopoly enterprises and government controlling behaviors.The forth part, based on the tradable emission permits institution in USA and combining the current situation in China, discusses the design of Chinese tradable emission permits system modes and the selection of Chinese initial allowance allocation policy. The existing difficulties in establishing tradable emission permits markets under the condition of existed implementing tradable emission permits in China are analyzed.On the basis of current situation analysis on sulfur dioxide emissions and acid rain distribution in China, the last part makes a thorough case analysis on establishment of sulfur dioxide emission permits trading market from four aspects: sulfur dioxide key control zones-- two control zones,the total emission control strategy on sulfur dioxide,the legislation concerning sulfur dioxide emissions trading and sulfur dioxide monitoring.