We study monetary policy under climate change in order to answer the question of whether monetary policy should take into account the expected impacts of climate change. The setup is a new Keynesian dynamic stochastic general equilibrium model of a closed economy in which a climate module that...

"This book presents a series of lectures on applied environmental economics and policy covering the following issues: environmental cost-benefit analysis; ecosystem services; ecosystems biodiversity, and the economy; and sustainability. The first part introduces basic concepts in environmental...

This paper explores abatement investment and location responses to environmental policy, which takes the form of emission taxes or tradeable emission permits and subsidies against the costs of abatement investment, under uncertainty and irreversibility. Uncertainty is associated with output...