Angelopoulos, Konstantinos; Economides, George; … - In: International Tax and Public Finance 20 (2013) 3, pp. 360-380
This paper uses a micro-founded DSGE model to compare second-best optimal environmental policy, and the resulting Ramsey allocation, to first-best allocation. The focus is on the source and size of uncertainty, and how this affects optimal choices and the comparison between second- and...