This paper examines economic aspects of the Kyoto protocol on climate change, focusing on the protocol’s longer-term impact and possible global evolution. Specifically, the analysis considers the economics of likely technological responses to the protocol and the implication of international...

We explore how optimal emission abatement trajectories are affected by dynamic characteristics of greenhouse-gas emitting systems, such as inertia, induced innovation, and pathdependency, by formulating a compact and analytically tractable model with stylized damage assumptions to derive the...