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, sustaining only modest cuts in emissions. These results are unaffected by uncertainty about the impact of catastrophe. By … contrast, uncertainty about the catastrophic threshold typically causes coordination to collapse. Whether the probability …
Persistent link: https://www.econbiz.de/10013315826
heterogeneity of adaptation measures and the high uncertainty of quantitative adaptation analyses, further research in the form of …
Persistent link: https://www.econbiz.de/10013316180
It is not immediately clear how to discount distant-future events, like climate change, when the distant-future discount rate itself is uncertain. The so-called “Weitzman-Gollier puzzle” is the fact that two seemingly symmetric and equally plausible ways of dealing with uncertain future...
Persistent link: https://www.econbiz.de/10013316287
The usually assumed two categories of costs involved in climate change policy analysis, namely abatement and damage costs, hide the presence of a third category, namely adaptation costs. This dodges the determination of an appropriate level for them. Including adaptation costs explicitly in the...
Persistent link: https://www.econbiz.de/10013316316
It is not immediately clear how to discount distant-future events, like climate change, when the distant-future discount rate itself is uncertain. The so-called “Weitzman-Gollier puzzle” is the fact that two seemingly symmetric and equally plausible ways of dealing with uncertain future...
Persistent link: https://www.econbiz.de/10008534029
The possibility of low-probability extreme events has reignited the debate over the optimal intensity and timing of climate policy. In this paper we therefore contribute to the literature by assessing the implications of low-probability extreme events on environmental policy in a continuous-time...
Persistent link: https://www.econbiz.de/10013139799
of climate policy. This study presents the results of the first comprehensive study of uncertainty in climate change …, temperature, damages, and the social cost of carbon (SCC). One key finding is that parametric uncertainty is more important than … uncertainty in model structure. Our resulting pdfs also provide insights on tail events …
Persistent link: https://www.econbiz.de/10013013082
This paper analyses the formation of international environmental agreements (IEAs) under uncertainty, focusing on the … of IEA formation when countries are risk neutral and another that explores the implications of uncertainty and risk …
Persistent link: https://www.econbiz.de/10013059058
circulation model. It also features Epstein-Zin utility and uncertainty about climate sensitivity that resolves after some time …
Persistent link: https://www.econbiz.de/10013315580
unaffected by uncertainty about the impact of crossing the threshold but that collective action collapses if the location of the … uncertainty. Inside the dividing line, where uncertainty is small, collective action should succeed. Outside the dividing line …, where uncertainty is large, collective action should fail. We test this prediction in the experimental lab. Our results …
Persistent link: https://www.econbiz.de/10013315630