We show that, in a model without commitment to future policies, geoengineering breakthroughs can have adverse environmental and welfare effects because they change the (equilibrium) carbon taxes. In our model, energy producers emit carbon, which creates a negative environmental externality, and...

Shared socioeconomic pathways (SSPs) are perhaps the most influential economic policy analyses today. My paper evaluates their development, natural associations, logical consequences, and economic identification. All five SSP baseline scenarios are predicting scenarios that historical...

This paper studies the interplay between environmental performance and financial valuation of firms in Latin America and the Caribbean. We provide insights into how environmental considerations are integrated into financial decision-making and investor behavior by analyzing the stock market...

Climate change entails risks to the global economy and impacts financial stability. Beyond managing related risks, the financial sector can also contribute to the transition toward a net-zero economy. Guided by the ECB's climate and nature plan1 , this paper discusses the methodology and key...

Economic growth can affect land use change to release or sequester carbon, intensifying or mitigating the impact of other carbon emissions, and the functional form of that relationship is important to crafting policy responses. Data on land use and land cover change (LULCC) for 14 countries...

This paper studies the effects of the carbon-based ecosystem on a country's output. We propose and estimate a dynamic game production model in which a country's ecosystem, as measured by its reservoir of carbon in land biomass and soils, is a productive input. This reservoir is diminished when...

We estimate the shadow prices of CO₂ emissions of electric utilities in the United States over the period from 2001 to 2014, using a random-coefficient, random-directional-vector directional output distance function (DODF) model. The main feature of this model is that both its coefficients and...

Many countries have pledged targets or actions to reduce greenhouse gas emissions; these have been listed in the Appendices to the Copenhagen Accord and, at the time of writing, are being transferred to the UNFCCC Cancún Agreements. This analysis examines the costs and effectiveness of these...