Freytag, Andreas (Professor of Economic Policy, University of Jena)

Friedrich Schiller University Jena, School of Business and Economics (Jena)

Wangler, Leo (Economist)

Weikard, Hans-Peter (Economist)

2009-077

coalition formation

environmental policy coordination

international environmental agreements

Minimum participation rules

transboundary pollution

Almost all international environmental agreements include a minimum participation rule. Under such a rule an agreement becomes legally binding if and only if a certain threshold in terms of membership or contribution is reached. We analyze a cartel game with open membership and heterogeneous countries to study the endogenous choice of a minimum participation rule and its role for the success of international environmental agreements.