Proceeding on a limited number of general, widely accepted equity criteria, we develop a proposal for distributing common resources. In particular, the proposed fair division mechanism is individually rational, envy-free, Pareto-efficient and satisfies the stand alone test, which follows as a minimum requirement from the resource and population monotonicity criteria. Applied to international climate policy, the thrust of this proposal is that the South should initially be fully compensated for the greenhouse gas abatement measures it is to undertake as a result of efficiency considerations.
BenedickR. E.1998. Ozone Diplomacy. New Directions in Safeguarding the Planet. Enlarged edition. Cambridge, MA: Harvard University Press.
2.
BiermannF.1998. Weltumweltpolitik zwischen Nord und Süd. Die neue Macht der Entwicklungsländer. Baden-Baden: Nomos.
3.
BeitzC. R.1999. International liberalism and distributive justice, World Politics, 50, 269–296.
4.
ChichilniskyG. and ThomsonW.1987. The Walrasian mechanism from equal division is not monotonic with respect to variations in the number of consumers, Journal of Public Economics, 32: 119–124.
5.
ClineW. R.1992. The Economics of Global Warming. Washington, D.C.: Institute for International Economics.
6.
DworkinR.1981. What is equality? Part II: Equality of resources, Philosophy and Public Affairs, 10, 283–345.
7.
HelmC.2000. Economic Theories of International Environmental Cooperation, Cheltenham. Edward Elgar.
8.
HelmC. and SchellnhuberH.-J.1998. Wissenschaftliche Aussagen zum Klimawandel, in: LozánJ. L., GraßlH. and HupferP. (eds.), Warnsignale aus der Klimaentwicklung – Wissenschaftliche Fakten. Berlin: Parey, 364–367.
9.
IPCC (Intergovernmental Panel on Climate Change)1996. Climate Change 1995. Economic and Social Dimensions of Climate Change. Cambridge: Cambridge University Press.
10.
IngeKaul, GrunbergIsabelle and SternMarc A. (eds) 1999. Global Public Goods. International Cooperation in the 21st Century.Oxford: Oxford University Press.
11.
LockeJ.1690/1963. Two Treatises of Civil Government.Cambridge: Cambridge University Press.
12.
MoulinH.1992. An application of the Shapley value to fair division with money, Econometrica, 60 (6): 1331–1349.
13.
NordhausW. D. and YangZ.1996. A regional dynamic general-equilibrium model of alternative climate-change strategies, American Economic Review, 86 (4), 741–765.
14.
NozickR.1974. Anarchy, State and Utopia. New York: Basic Books.
15.
RawlsJ.1971. A Theory of Justice. Cambridge, MA: Harvard University Press.
16.
RawlsJ.1999. Law of Peoples. Cambridge, MA: Harvard University Press.
17.
RoemerJ. E.1986. The mismarriage of bargaining theory and distributive justice, Ethics, 97, 88–110.
18.
SandlerT.1997. Global Challenges: An Approach to Environmental, Political, and Economic Problems. Cambridge, UK: Cambridge University Press.
19.
SchwanA.1993. Politische Theorien des Rationalismus und der Aufklärung, in: LieberH.-J. (ed.): Politische Theorien von der Antike bis zur Gegenwart. Bonn: Bundeszentrale für politische Bildung.