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The economic analysis of global warming is dominated by models based on optimal growth theory. These representative-agent models have an intrinsic distributional bias in favor of the rich. The bias is compounded by the use of ‘revenue-neutrality’ in the allocation of emission permits. The...
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"This book presents an empirically grounded alternative to prevailing macroeconomic orthodoxy. Using evidence from behavioral economics and insights from Keynesian and institutionalist traditions, it is essential reading for graduate students, researchers and professional economists who have...
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