This paper develops a model with an endogenous number of cities to explore whether local governments establish the optimal city size when key activities in the city are associated with emissions that harm consumers. In contrast to extant research, our model is fully micro-founded with respect to...

This paper provides ex-post empirical evidence on the effects of green technology support policies, in comparison with other climate policies, on carbon dioxide emissions at the aggregate national level. The paper uses cross-country dynamic panel estimation for a sample of 38 countries over the...

Unintended consequences of a pre-announced climate policy have been studied in a variety of situations. We show that early announcement of a carbon tax gives rise to a "Green-Paradox", in that it increases polluting emissions in the interim period (between announcement and actual...

The increase of fuel extraction costs as well as of temperature will make it likely that in the medium-term future technological or political measures against global warming may be implemented. In assessments of a current climate policy the possibility of medium-term future developments like...