Clearly, if technology were fully transferable we would have a decrease of the dirty countries’emissions per output ratio from hto 0 and therefore a transfer of technology results in a decrease ofemissions and an increase in all countries’ welfare. However, technologies are typically only partiallytransferable and the case l= 0 is considered here only for an illustration.Even though this is an asymmetric differential game, it is still analytically tractable and one canfollow identical steps used in the sections above to show that a decrease in hmay result in an increasein emissions of pollution, therefore reducing the clean countries’ welfare. Moreover, if the increasein emissions is large enough, this may result in all countries’ welfare diminishing following a ‘partial’transfer of clean technologies to the dirty countries.