In this paper we develop a vintage capital model for a firm involved in a market for tradable emission permits. We analyze both the firm’s optimal investment plans and the market equilibrium. This allows us to scrutinize how firms use permits free endowment, and to highlight the implications...

We develop an overlapping generations model of growth and the environment with public policy on education. Beyond the traditional mechanisms through which knowledge, growth and the environment interplay, we stress out the role played by education on environmental awareness. Assuming first that...

This study is motivated by the evidence of global warming, which is caused by human activity but affects the efficiency of the economy. We employ the integrated assessment Nordhaus DICE-2007 model [16]. Generally speaking, the framework is that of dynamic optimization of the discounted...

This article presents an analysis of the behavior of countries defining their climate policies in an uncertain context. The analysis is made using the S-CWS model, a stochastic version of an integrated assessment growth model. The model includes a stochastic definition of the climate sensitivity...

Noise-induced pollution constitutes a hot and topical societal problem for all major airports. This paper discusses various issues in the implementation of a market for noise licenses as a solution to solve the noise externality between the residents located around airports and the aircrafts...

The paper analytically explores the optimal policy mix between mitigation and environmental adaptation against climate change at a macroeconomic level. The constructed economic- environmental model is formulated as a social planner problem with the adaptation and abatement investments as...

In this paper we analyze the relationship between technological greening, eco-efficiency and no- regret strategies. By using a simple theoretical model, we evaluate the effects of technological greening on creation value, pollution level, and eco-efficiency. We show three contrasting effects of...

This paper presents a market design for the management of noise pol- lution created by aircraft tra¢ c around airports. A local market for noise licenses allows noise generators to compensate noise victims. We show that the market allows the market designer to achieve his/her optimal allocation...

"Sustainable development must satisfy the needs of present generations without compromising the ability of future generations to meet theirs. Although it looks at the economic, environmental and social aspects of sustainability, this article focuses specifically on an analysis of the concept in...

In this paper we present the main results of three original studies on the equilibrium with a market of tradeable permits in a static framework. In first study, we have considered an international equilibrium of two countries which depend on the quantity of permits to each country. The...