We compare a carbon tax and a cap and trade mechanism in their propensity to induce carbon-reducing technological adoption, when investments are undertaken under uncertainty. In our setting, risk-neutral firms affect the variance and the correlation of the shocks they are exposed to through...

Emissions trading is becoming increasingly popular in environmental law. Allowances to trade emissions can either be auctioned off or handed out free of charge by means of grandfathering. Although grandfathering is frequently used in emissions trading schemes, it is a popular view in the...

Energy sharing is the activity of administratively attributing renewable energy to consumers, where the renewable energy asset is controlled by those consumers in a shared role as a non-professional or non-profit producer. The main objective of energy sharing is to give all consumers access to...