This note considers the treatment of risk and uncertainty in the recently established social cost of carbon (SCC) for … Cost of Carbon did not go far enough into the tail of low-probability, high-impact scenarios, and, via its approach to … discounting, it mis-estimated climate risk, possibly hugely. Given the uncertainty about estimating the SCC, the note concludes by …

fundamental uncertainty affects the volume of the portfolio and hence money and credit demand as well as the probability of debt …One of Keynes’ core issues in his liquidity preference theory is how fundamental uncertainty affects the propensity to … hold money as a liquid asset. The paper critically assesses various formal representations of fundamental uncertainty and …

creative occupations rather than education. Consistent with Florida’s notion of creativity, it suggests a microfoundation that … relates creativity to workers’ cognitive and noncognitive skills. It shows that this microfoundation is similar to that of …

frameworks and techniques for analyzing climate policy in the context of uncertainty. This paper will give an overview of …

. A key assumption is that mergers create uncertainty on productivity and informational asymmetry between firms. The paper …

An important question for central banks is how they should report the uncertainty of their forecasts. This paper … discusses a way in which a central bank could report the uncertainty of its forecasts in a world in which it used a single …

that the social cost of carbon, corrected for uncertainty and inequity, is 61 US dollar per metric tonne of carbon. …

The paper develops a model of firm´s investment under uncertainty with financial market imperfections and analyzes the …

Recent thinking about the economics of climate change has concerned the uncertainty about the upper bound of both … appropriate probability distributions for these factors may be fat-tailed. The matter of tail shape has important implications for …