innovation distinguishing between dirty (internal combustion engine) and clean (e.g. electric and hybrid) patents across 80 … tax-inclusive fuel prices. Furthermore, there is path dependence in the type of innovation both from aggregate spillovers … and from the firm's own innovation history. Using our model we simulate the increases in carbon taxes needed to allow …

the interaction between environmental taxes and innovation externalities in a dynamic economy and prove policy equivalence … directly linked to the source of technological innovation. Arguments for early action in LbD models carry over to a second …