This paper studies the influence of productivity, pollution sensitivity, and adaptive capacity on optimal mitigation and adaptation in a two country global pollution model. We investigate the effects of changes of these parameters on the allocation of emissions, adaptation expenditures, and...

In modeling emissions, the literature has usually specified an explicit emission function, or treated emissions as a production input. We examine the validity of these approaches, taking into account the materials balance principle. We show that a technology can equivalently be described by (i)...