Kverndokk, Snorre; Nævdal, Eric; Nøstbakken, Linda - In: European Economic Review 69 (2014) C, pp. 40-58
develop a dynamic two-region model, in which each region suffers from global warming, but also has an inequality aversion over … current consumption allocations. Inequality aversion generally lifts the consumption path of the poor region, while the rich … region must take a greater share of the climate burden. Furthermore, with inequality aversion, the optimal climate policy …