Manufacturer's Encroachment and Carbon Emission Reduction Decisions Considering Cap-and-Trade Regulation and Consumers' Low-Carbon Preference.

ABSTRACT: Carbon emission reduction and achieving carbon neutrality has become an inevitable trend in the sustainable development era. We investigate the manufacturer's encroachment and carbon emission reduction decisions considering government cap-and-trade regulations and consumers' low-carbon preference. The equilibrium decisions for the four scenarios are analytically obtained and compared based using the Stackelberg game. A comparison with and without cap-and-trade regulation under two encroachment decisions regarding member's profits and carbon emission reduction levels are conducted. It is shown that the encroachment decision is always advantageous for the manufacturer if the government decides not to implement cap-and-trade regulation, and the retailer always loses profit. Moreover, if the c

SUBMITTER: Ding F 

PROVIDER: S-EPMC9408328 | biostudies-literature | 2022 Aug

REPOSITORIES: biostudies-literature