The fuel efficiency of conventional private vehicles is a key input in the design of several economic and environmental policies. Reliable projections of the fuel efficiency variable can improve estimates on the future emission savings from policies promoting vehicle replacement, and on future...

The paper considers a climate change growth model with three R&D sectors dedicated to energy, backstop and CCS (Carbon Capture and Storage) efficiency. First, we characterize the set of decentralized equilibria: A particular equilibrium is associated to each vector of public tools which includes...