Recent contributions by Brookes (1990), Saunders (1992), and Inhaber and Saunders (1994) argue that cost-effective improvements in energy efficiency may, in the long run, lead energy use to grow more rapidly than it would in a world of fixed technologies. Since efficiency improvements may be...

Empirical studies provide compelling evidence that economic agents do not adopt the complete range of energy-efficient technologies that are cost-effective under prevailing prices and market conditions. Analysts commonly attribute this anomaly to the use of high discount rates in energy-related...

This paper examines the interplay between discounting and the distribution of welfare between generations in formulating climate change response strategies. The analysis shows that one can understand Nordhaus's (1994) standard representative agent model for climate policy analysis as a reduced...