It is widely acknowledged that introducing a price on carbon represents a crucial precondition for filling the current gap in low-carbon investment. However, as this paper argues, carbon pricing in itself may not be sufficient. This is due to the existence of market failures in the process of...

The expansion of the share of economic activity taking place in sectors with low or no impact on ecological resources is a crucial component of the transition to a low-carbon society. This �green� structural change is analyzed here by means of a growth model with a...

Transitioning to a low-carbon economy will require significant investment to transform energy systems, alter the built environment and adapt infrastructure. A strategy to finance this investment is needed if the limit of a 2�C increase in global mean temperatures is to be respected. Also,...

Recent international environmental negotiations have highlighted the importance of establishing a commonly agreed approach to attribute climate change responsabil- ities. In this paper I investigate how choices on allocation mechanisms are likely to affect optimal abatement effort paths and...