optimal policy design in a context with more than one externality while taking explicitly into account uncertainty surrounding …-focused. Besides uncertainty on the state of the world concerning actual marginal emission damage, we consider the technological … progress through R&D as well as learning-by-doing. A portfolio of three policy instruments is then needed to cope with the …

, clean technological progress, as well as uncertainty about climatic and economic factors, lead to lower emissions and … relative to a 'straw man' model with perfect capital mobility, fixed abatement costs and no uncertainty. …

-DICE2016, which is designed to address three key aspects of climateeconomy models: treatment of uncertainty, the use of more … parameters whose distributions have "fat tails". Uncertainty is accommodated via the state-contingent approach enabling us to … include more state (seven) and control variables (four) than recursive derivatives of DICE. Our approach to uncertainty …