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Climate change is one of the most pressing challenges in current environmental policy. Appropriate policies intended to stimulate efficient adaptation and mitigation should not exclusively rely on the assumption of the homo oeconomicus, but take advantage of well-researched alternative...
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that stochastic technology growth hardly affects the optimal bundle of mitigation and adaptation whereas uncertainty about … composition of the optimal mix as both persuade the risk-averse social planner to invest more in mitigation. Overall, we identify … that including uncertainty into the model tends to favour (long-lasting) mitigation with respect to (instantaneous …
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