The first objective of this chapter is to present a new approach to econometric modeling of producer behavior. Our key contribution is to represent the rate and biases of technical change by unobservable or latent variables. We also divide the rate of technical change between components that are...

The point of departure for the study of the impact of energy and environmental policies is the neoclassical theory of economic growth formulated by Cass (1965) and Koopmans (1967). The long-run properties of economic growth models are independent of energy and environmental policies. However,...

Contents -- List of Figures -- List of Tables -- Preface -- 1 Designing Energy and Environmental Policies -- 2 Structure of the Intertemporal General Equilibrium Model -- 3 Modeling Consumer Behavior -- 4 Modeling Producer Behavior -- 5 Government and the Rest of the World -- 6 Model Solution --...