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I examine the risk/return tradeoff for environmental investments, and its implications for policy choice. Consider a policy to reduce carbon emissions. To what extent does the value of such a policy depend on the expected future damages from global warming versus uncertainty over those damages,...
Persistent link: https://www.econbiz.de/10012460398
Many areas of the natural and social sciences involve complex systems that link together multiple sectors. Integrated assessment models (IAMs) are approaches that integrate knowledge from two or more domains into a single framework, and these are particularly important for climate change. One of...
Persistent link: https://www.econbiz.de/10012455362
We present a proof-of-concept analysis of the measurement of the health damage of ozone (O3) produced from nitrogen oxides (NOx = NO NO2) emitted by individual large point sources in the eastern United States. We use a regional atmospheric model of the eastern United States, the Comprehensive...
Persistent link: https://www.econbiz.de/10012467865
Heckscher-Ohlin-Samuelson factor endowments model. We draw quite heavily from trade theory, but develop a simple pollution …This paper sets out a general equilibrium pollution and trade model to provide a framework for examination of the trade … and environment debate. The model contains as special cases a canonical pollution haven model as well as the standard …
Persistent link: https://www.econbiz.de/10012470178
This article studies how liability for environmentally harmful discharges affects the incentives of firms to engage in cleanup and invest in precautions, as well as the incentives of consumers to purchase the goods whose production leads to discharges. Our main conclusion is that making firms...
Persistent link: https://www.econbiz.de/10012474792
pollution are low. In this case RJVs fully share information and internalize the associated externality. However when the level …
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technologies which reduce the cost of pollution abatement. The innovating firm can patent this innovation and use a licensing fee … a pollution tax or a marketable permit. However, the returns to the innovator from innovation are not the same under the …
Persistent link: https://www.econbiz.de/10012462354
A critical issue in climate-change economics is the specification of the so-called "damages function" and its interaction with the unknown uncertainty of catastrophic outcomes. This paper asks how much we might be misled by our economic assessment of climate change when we employ a conventional...
Persistent link: https://www.econbiz.de/10012462520