Sanin, María Eugenia; Zanaj, Skerdilajda - Center for Operations Research and Econometrics … - 2009
In this paper we give an example in which the price of tradeable emission permits increasesdespite firms' adoption of a less polluting technology. This is in contrast with Montero (2002) andParry (1998), among others. If two Counot players switch to a cleaner technology, the price forpermits may...