This paper applies different copulas in order to investigate the complex dependence structure between EU emission …

This paper studies various options to support allowance prices in the EU Emissions Trading System (ETS), such as … adjusting the cap, an auction reserve price, and fixed and variable carbon taxes in addition to EU ETS. We use a dynamic … at the EU Member State level. We find that both a variable carbon tax and an auction reserve price support effective …

programme. A reform of the EU ETS intends to make allowances allocation flexible and contingent on the state of the system. We …'s decision-making in the context of the EU ETS reform and give a novel perspective on the mechanism's overall design …

physical settlement during the second market phase of the EU ETS. We employ a series of estimation methods that allow for an …

based allocation (Australia, California, New Zealand) and capacity based allocation (EU). This paper characterizes the best … output and capacity based allocation is proved to be the optimal second best policy. The EU scheme for 2013-2020 is discussed …

Strategic market behavior by permit sellers will harm the European Union as the EU as a whole is expected to become a … large net buyer of permits in a follow-up agreement to the Kyoto Protocol. In this paper we explore how the EU could benefit … from making permit trade agreements with non-EU countries. These trade agreements involve a minimum permit sales …