The Paris Agreement established that global warming should be limited to "well below" 2?C and encouraged efforts to limit warming to 1.5?C. Achieving this goal presents a significant challenge, especially given the presence of (i) economic inertia and adjustment costs, which penalize a swift...

In this paper, we analyze a discrete choice model for partially ordered alternatives. The alternatives are differentiated along two dimensions: the first an unordered “horizontal” dimension, and the second an ordered “vertical” dimension. The model can be used in circumstances in which...

This paper introduces a framework for selecting policies that maximize expected welfare under estimation uncertainty. The proposed method explicitly balances the size of the estimated welfare against the uncertainty inherent in its estimation, ensuring that chosen policies meet a reporting...

We develop a financial-economic model for carbon pricing with an explicit representation of decision making under risk and uncertainty that is consistent with the Intergovernmental Panel on Climate Change's sixth assessment report. We find that this approach provides economic support for the...

Many structural econometric models include latent variables on whose probability distributions one may wish to place minimal restrictions. Leading examples in panel data models are individual-specific variables sometimes treated as "fixed effects" and, in dynamic models, initial conditions. This...

Boston's high housing costs reflect a historic failure to build enough units to satisfy demand. Interest rates and construction costs have risen recently, and the flow of new market-rate residential housing projects has slowed. To spur more construction, the City of Boston is considering various...