Narrow search
Showing 1 - 10 of 17,733
Cover Image
The safe carbon budget
Ploeg, Frederick van der - 2017 - Revised August 2017
Cumulative emissions drive peak global warming and determine the safe carbon budget compatible with staying below 2oC or 1.5oC. The safe carbon budget is lower if uncertainty about the transient climate response is high and risk tolerance low. Together with energy costs this budget determines...
Persistent link: https://www.econbiz.de/10011717248
Cover Image
On current and future carbon prices in a risky world
Olijslagers, Stan; Ploeg, Frederick van der; … - 2021
We analyse optimal abatement and carbon pricing strategies under a variety of economic, temperature and damage risks. Economic growth, convex damages and temperature-dependent risks of climatic tipping points lead to higher growth rates, but gradual resolution of uncertainty lowers them. For...
Persistent link: https://www.econbiz.de/10012545087
Cover Image
On current and future carbon prices in a risky world
Olijslagers, Stan; Ploeg, Frederick van der; … - 2021
We analyse optimal abatement and carbon pricing strategies under a variety of economic, temperature and damage risks. Economic growth, convex damages and temperature-dependent risks of climatic tipping points lead to higher growth rates of carbon prices, but gradual resolution of uncertainty...
Persistent link: https://www.econbiz.de/10012515093
Cover Image
Discounting and climate policy
Ploeg, Frederick van der - 2020
The social rate of discount is a crucial driver of the social cost of carbon (SCC), i.e. the expected present discounted value of marginal damages resulting from emitting one ton of carbon today. Policy makers should set carbon prices to the SCC using a carbon tax or a competitive permits...
Persistent link: https://www.econbiz.de/10012249287
Cover Image
Closed-form integrated assessment and uncertainty
Traeger, Christian - 2015
The paper derives the optimal carbon tax in closed-form from an integrated assessment of climate change. The formula shows how carbon, temperature, and economic dynamics quantify the optimal mitigation effort. The model's descriptive power is comparable to numeric models used in policy advising....
Persistent link: https://www.econbiz.de/10011305430
Cover Image
Optimal climate policy with fat-tailed uncertainty : what the models can tell us
De Bruin, Kelly C.; Krishnamurthy, Chandra Kiran - 2021
We present a modification of the most commonly used integrated assessment model (IAM) of climate change (DICE-2016), AD-DICE2016, which is designed to address three key aspects of climateeconomy models: treatment of uncertainty, the use of more appropriate utility functions, and including...
Persistent link: https://www.econbiz.de/10012510301
Cover Image
Worse off from reduced cost? : the role of policy design under uncertain technological advancement
Weitzel, Matthias - 2014
A simple model is used to illustrate the effects of a reduction in (marginal) abatement cost in a two country setting. It can be shown that a the country experiencing a cost reduction can actually be worse off. This holds true for a variety of quantity and price based emission policies. The most...
Persistent link: https://www.econbiz.de/10010357897
Cover Image
Climate Policy Design Under Uncertainty
Pizer, William A. - 2008
The uncertainty surrounding both costs and benefits associated with global climate change mitigation creates enormous hurdles for scientists, stakeholders, and decisionmakers. A key issue is how policy choices balance uncertainty about costs and benefits. This balance arises in terms of the time...
Persistent link: https://www.econbiz.de/10014059883
Cover Image
Expected Utility theory and the tyranny of catastrophic risks
Buchholz, Wolfgang; Schymura, Michael - 2010
Expected Utility theory is not only applied to individual choices but also to ethical decisions, e.g. in cost … EU theory is able to deal with "catastrophic risks", i.e. risks of high, but very unlikely losses, in an ethically … appealing way. In this paper we show that this is not the case. Rather, if in the framework of EU theory a plausible level of …
Persistent link: https://www.econbiz.de/10008652528
Cover Image
Climate treaties and approaching catastrophes
Barrett, Scott - 2012 - 31 July 2011, Revised 24 July 2012, Second Revision 26 October 2012
If the threshold that triggers climate catastrophe is known with certainty, and the benefits of avoiding catastrophe are high relative to the costs, treaties can easily coordinate countries' behavior so as to avoid the threshold. Where the net benefits of avoiding catastrophe are lower, treaties...
Persistent link: https://www.econbiz.de/10009684058