Sharing the costs of cleaning a river: the Upstream Responsibility rule
Identificadores
URI: http://hdl.handle.net/10481/31584Metadatos
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Universidad de Granada. Departamento de Teoría e Historia Económica
Materia
Cost allocation Waste river Responsibility Characterization
Fecha
2013-02Referencia bibliográfica
Alcalde-Unzu, J.; Gómez-Rúa, M.; Molís, E. Sharing the costs of cleaning a river: the Upstream Responsibility rule. Universidad de Granada. Departamento de Teoría e Historia Económica (2013). (The Papers; 13/03). [http://hdl.handle.net/10481/31584]
Resumen
The cleaning up of waste present in transboundary rivers, which requires the cooperation of di erent authorities, is a problematic issue, especially when responsibility for the discharge of the waste is not well-defined. Following Ni and Wang [12] we assume that a river is a segment divided into several regions from upstream to downstream. We show that when the transfer rate of the waste is unknown, the clean-up cost vector provides useful information for estimating some limits in regard to the responsibility of each region. We propose a cost allocation rule, the Upstream Responsibility rule, which takes into account these limits in distributing costs \fairly" and we provide an axiomatic characterization of this rule via certain properties based on basic ideas concerning the responsibility of regions.