Clean technology adoption and its influenceon tradeable emission permit prices

In this paper we give an example in which the price of tradeable emission permits increasesdespite firms' adoption of a less polluting technology. This is in contrast with Montero (2002) andParry (1998), among others. If two Counot players switch to a cleaner technology, the price forpermits may increase due to an increase in the net demand for permits and a decrease in netsupply of permits after the clean technology is adopted. This is only the case when output demandis elastic....

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Year of publication:	2009-04-01
Authors:	Sanin, María Eugenia ; Zanaj, Skerdilajda
Institutions:	Center for Operations Research and Econometrics <Louvain-la-Neuve>
Subject:	Innovation \| Emissionsgeschäft \| Umweltschutz \| Environment Protection \| Emissionskurs \| issue rate

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Extent:	354304 bytes 11 p. application/pdf
Series:	Center for Operations Research and Econometrics - Discussion Papers 2009 CORE DISCUSSION PAPER ; No. 29 (2009)
Type of publication:	Book / Working Paper
Language:	English
Classification:	D43 - Oligopoly and Other Forms of Market Imperfection ; L13 - Oligopoly and Other Imperfect Markets ; Q55 - Technological Innovation ; Management of environmental resources ; Individual Working Papers, Preprints ; No country specification
Source:	USB Cologne (business full texts)

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