ENVIRONMENTAL MAINTENANCE AND INTERGENERATIONAL EXTERNALITIES

This article analyses the consequences of environmental public policy when private agents have access to abatement activity, financed by private contributions. The question at stake is to determine if private involvement in abatement activities should challenge public intervention. The analysis of the environmental tax policy consequences on capital and environmental quality shows that, depending on abatement technologies and on initial economic and environmental inefficiencies, public and private abatements should be complementary or substitutable.