carbon prices, but gradual resolution of uncertainty lowers them. For temperature-dependent economic damage tipping points …We analyse optimal abatement and carbon pricing strategies under a variety of economic, temperature and damage risks …, carbon prices are higher, but when the tipping point occurs, the price jumps downward. With only a temperature cap the carbon …

and a carbon-intensive sector. We allow for endogenous growth and three types of damages from global warming. It is shown …. In the longer run, however, a trade-off between diversification and climate action emerges. We derive the optimal carbon …

or 1.5oC. The safe carbon budget is lower if uncertainty about the transient climate response is high and risk tolerance …Cumulative emissions drive peak global warming and determine the safe carbon budget compatible with staying below 2oC … low. Together with energy costs this budget determines the constrained welfare-maximizing carbon price and how quickly …

metrics, including impacts on carbon dioxide (CO2) emissions, revenue, deaths from local air pollution, economic welfare …

Several EU member states are exploring options for setting minimum domestic carbon prices within the EU Emission … Trading System (ETS). First, a "TAX" policy would introduce a carbon tax equal to the difference between the prevailing ETS … price. We explore the implications of these policy options on national and ETS-wide carbon prices, revenues from emissions …

carbon pricing and adopting overlapping regulatory measures that reinforce low prices and further undermine the confidence in … market-based approaches to addressing climate change. The solution in other carbon markets has been the introduction of a …