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A dynamic theory of spatial externalities

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Academic year: 2021

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Figure 4.1. The case of two players each controlling one half of the circle. All the parameters are space independent: the productivity factor A is 1.6 , the discount ρ is 0.03 , the diusivity σ is 0.5 , the natural decay of the pollution δ is 0.2 , the we
Figure 4.2. The case of two players controlling one half of the circle varying the diusivity coecient
Figure 4.3. The case of two players controlling respectively one fourth and three fourth of the circle
Figure 5.1. The case of two players controlling one half of the circle with dierent levels of technology A
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