As the worlds largest economy, the United States is also the largest consumer of fossil energy sources and the largest per capita emitter of greenhouse gases. Although the climate and energy policies adopted over the past decade have been insufficient to reverse continued emissions growth, a...

On 1 January 2005, the EU Emission Trading Scheme (EU ETS) commenced. The legislation behind the scheme is the European Commission’s Directive 2003/87/EC, within which Article 30 requires a review report of the EU ETS should be submitted to the European Parliament and the Council. In response...

We estimate the effect of demand and price uncertainty on firms’ investment decisions from a panel of manufacturing firms. Uncertainty measures are derived from firms’ subjective qualitative expectations. They are close to their theoretical counterparts, the variances of future demand and...

Starting from the assumption that firms are more likely to adjust their prices when doing so is more valuable, this paper analyzes monetary policy shocks in a DSGE model with firm-level heterogeneity. The model is calibrated to retail price microdata, and inflation responses are decomposed into...