The Effects of Ambient Charges in a Cournot Duopoly with a Labor-Managed Firm and a Capitalist Firm

Non-point sources of pollution include urban runoff, agricultural runoff, sediment from construction sites, and atmospheric deposition of pollutants. Ambient charges as an environmental policy instrument for decreasing non-point source pollution are mainly examined within profit-maximizing oligopoly...

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Main Author: Kazuhiro Ohnishi
Format: Article
Language:English
Published: Mashhad: Behzad Hassannezhad Kashani 2025-03-01
Series:International Journal of Management, Accounting and Economics
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Online Access:https://www.ijmae.com/article_216677_1c3f67c3514e6dc2575acd8da7830f8f.pdf
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author Kazuhiro Ohnishi
author_facet Kazuhiro Ohnishi
author_sort Kazuhiro Ohnishi
collection DOAJ
description Non-point sources of pollution include urban runoff, agricultural runoff, sediment from construction sites, and atmospheric deposition of pollutants. Ambient charges as an environmental policy instrument for decreasing non-point source pollution are mainly examined within profit-maximizing oligopoly models. This study considers a Cournot mixed duopoly game model involving a capitalist firm and a labor-managed firm to reevaluate the effects of ambient charges as an environmental policy instrument for mitigating non-point source pollution. The capitalist firm maximizes its overall profit, whereas the labor-managed firm focuses on maximizing profit per worker. The structure of the game is as follows. The government regulator first announces the ambient charge, and then the capitalist firm and the labor-managed firm independently and simultaneously decide their output levels. This study shows that there exists a situation where an increase in the ambient charge can reduce environmental pollution. As a result of the analysis, the study finds that ambient charges could be an effective way to manage non-point source pollution, even in Cournot mixed duopoly.
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spelling doaj-art-99f38a024f5945599afd18fada7a7f932025-08-20T02:05:46ZengMashhad: Behzad Hassannezhad KashaniInternational Journal of Management, Accounting and Economics2383-21262025-03-0112348849510.5281/zenodo.15096750216677The Effects of Ambient Charges in a Cournot Duopoly with a Labor-Managed Firm and a Capitalist FirmKazuhiro Ohnishi0Department of Economics, Institute for Economic Sciences, Kobe, JapanNon-point sources of pollution include urban runoff, agricultural runoff, sediment from construction sites, and atmospheric deposition of pollutants. Ambient charges as an environmental policy instrument for decreasing non-point source pollution are mainly examined within profit-maximizing oligopoly models. This study considers a Cournot mixed duopoly game model involving a capitalist firm and a labor-managed firm to reevaluate the effects of ambient charges as an environmental policy instrument for mitigating non-point source pollution. The capitalist firm maximizes its overall profit, whereas the labor-managed firm focuses on maximizing profit per worker. The structure of the game is as follows. The government regulator first announces the ambient charge, and then the capitalist firm and the labor-managed firm independently and simultaneously decide their output levels. This study shows that there exists a situation where an increase in the ambient charge can reduce environmental pollution. As a result of the analysis, the study finds that ambient charges could be an effective way to manage non-point source pollution, even in Cournot mixed duopoly.https://www.ijmae.com/article_216677_1c3f67c3514e6dc2575acd8da7830f8f.pdfcournot duopoly gameambient chargeenvironmental pollutioncapitalist firmlabor-managed firm
spellingShingle Kazuhiro Ohnishi
The Effects of Ambient Charges in a Cournot Duopoly with a Labor-Managed Firm and a Capitalist Firm
International Journal of Management, Accounting and Economics
cournot duopoly game
ambient charge
environmental pollution
capitalist firm
labor-managed firm
title The Effects of Ambient Charges in a Cournot Duopoly with a Labor-Managed Firm and a Capitalist Firm
title_full The Effects of Ambient Charges in a Cournot Duopoly with a Labor-Managed Firm and a Capitalist Firm
title_fullStr The Effects of Ambient Charges in a Cournot Duopoly with a Labor-Managed Firm and a Capitalist Firm
title_full_unstemmed The Effects of Ambient Charges in a Cournot Duopoly with a Labor-Managed Firm and a Capitalist Firm
title_short The Effects of Ambient Charges in a Cournot Duopoly with a Labor-Managed Firm and a Capitalist Firm
title_sort effects of ambient charges in a cournot duopoly with a labor managed firm and a capitalist firm
topic cournot duopoly game
ambient charge
environmental pollution
capitalist firm
labor-managed firm
url https://www.ijmae.com/article_216677_1c3f67c3514e6dc2575acd8da7830f8f.pdf
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