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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...
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existing externalities and optimal instrument choice is shown to be dependent on risk aversion of society as a whole as well as …
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considered and the level of risk aversion of the decision maker. With respect to the technology competitiveness, photovoltaic is … uncertainty. Although wind technology is currently more competitive than wave, except for high-risk averse decision …
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renewable energy consumption using the newspaper-based geopolitical risk (GPR) index introduced by Caldara and Iacoviello (2022 … side, governments investing more in energy technology innovations can cope with the geopolitical risk while securing a …
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