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There is extreme heterogeneity of firms regulated under the European Emissions Trading Scheme (EU ETS) in terms of emissions evels and employed technology. We present a model that shows that behavior of firms under quantity regulation can differ strongly, dependent on the characteristics of the...
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We analyze the quantitative labor market and aggregate effects of a carbon tax in a framework with pollution externalities and equilibrium unemployment. Our model incorporates endogenous labor force participation and two margins of adjustment influenced by carbon taxes: firm creation and green...
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The United States will play a crucial role in global climate protection in what has been called the "super election year" of 2024. After three-and-a-half years of having scored huge successes in climate protection, President Joe Biden could be succeeded by Donald Trump in January 2025, according...
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