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We analyze the effects of socially responsible investment and public abatement on environmental quality and the economy in a continuous-time dynamic growth model featuring optimizing households and firms. Environmental quality is modelled as a renewable resource. Consumers can invest in...
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substantially. Subsidizing renewables to just below the cost of coal does not affect the oil-only phase. The gain in green welfare …
Persistent link: https://www.econbiz.de/10010277274
the following coal-only phase, and a flat carbon tax during the final renewables-only phase. The laissez-faire outcome … energy). Subsidizing renewables to just below the cost of coal does not affect the oil-only phase. The gain in green welfare … carbon tax a prohibitive coal tax leads to less oil left in situ and substantially delays introduction of renewables, but …
Persistent link: https://www.econbiz.de/10010277400
of renewables, stock-dependent oil extraction costs and convex climate damages. Weconcentrate on economies with an … plus scarcity rent and social cost of carbon) below thatof renewables. There are then two regimes. If the oil stock is … small, the social optimum path consists of aninitial oil-only phase followed by a renewables-only phase. With a lower cost …
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Decarbonization of the energy sector, requires a strong expansion of renewable energy, which combined with effective and efficient use of resources, enables the development of models based on the green economy. Tidal energy, which is currently underutilized, can contribute to this change by...
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second stage, regulators need to adapt support policies for renewables to challenges arising along the transition pathway. We …
Persistent link: https://www.econbiz.de/10011440947