Governments contracting with private agents for the provision of an impure public good must contend with agents who would potentially supply the good absent any payments. This additionality problem is centrally important to the use of carbon offsets to mitigate climate change. We analyze optimal...

This paper examines the consequences of salience for the government provision of public goods. Salience is a common behavioral bias whereby people's attention is drawn to salient features of a decision problem, leading them to overweight prominent information in subsequent judgments. We analyze...

In this note, we propose an estimator for continuous-choice dynamic structural models. Our approach expands the class of models that can be estimated using the GMM methods in Hansen and Singleton (1982) by leveraging a theoretical result on stochastic Euler equations from Acemoglu (2009). We...

Governments contracting with private agents for the provision of an impure public good must contend with agents who would potentially supply the good absent any payments. This additionality problem is centrally important to the use of carbon offsets to mitigate climate change. We analyze optimal...

This paper summarizes and synthesizes the role of markets in facilitating climate change adaptation. It explains how market signals encourage adaptation through land markets. It also identifies impediments to critical market signals, provides related policy recommendations, and points to...

If the United States chooses to implement a greenhouse gas reduction program, it would be necessary to decide whether to include carbon sequestration policies - - -such as those that promote forestation and discourage deforestation - - -as part of the domestic portfolio of compliance activities....

Increased attention by policy makers to the threat of global climate change has brought with it considerable interest in the possibility of encouraging the expansion of forest area as a means of sequestering carbon dioxide. The marginal costs of carbon sequestration or, equivalently, the carbon...

Governments contracting with private agents for the provision of an impure public good must contend with agents who would potentially supply the good absent any payments. This additionality problem is centrally important in the use of carbon offsets as part of climate change mitigation....