Projekt

Abstract:

Taking strategic and stochastic uncertainty simultaneously into account (risk-strategic approach) we explain the possibility of international co-operation in terms of objective and subjective risk assessment. The interaction of both reveals the importance of country-specific risk preferences for the initiation, the enlargement and the enforcement of co-operation. Depending on the national risk attitudes different kinds of games evolve. Moreover, given the intensity of risk aversion, the possibility of co-operation (the underlying game) varies by the choice of national policy instrument and technology. Both factors determine the objective risk parameters. To highlight their influence on the success of global risk management we develop a new criterion for international policy assessment and choice: "the criterion of co-operative push".