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Investment decisions and emissions reductions: results from experiments in emissions trading

In: Handbook on Experimental Economics and the Environment

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  • Lata Gangadharan
  • Rachel Croson
  • Alex Farrell

Abstract

Laboratory and field experiments have grown significantly in prominence over the past decade. The experimental method provides randomization in key variables therefore permitting a deeper understanding of important economic phenomena. This path-breaking volume provides a valuable collection of experimental work within the area of environmental and resource economics and showcases how laboratory and field experiments can be used for both positive and normative purposes.

Suggested Citation

  • Lata Gangadharan & Rachel Croson & Alex Farrell, 2013. "Investment decisions and emissions reductions: results from experiments in emissions trading," Chapters, in: John A. List & Michael K. Price (ed.), Handbook on Experimental Economics and the Environment, chapter 8, pages 233-264, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:12964_8
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    References listed on IDEAS

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    29. Hindsberger, Magnus & Nybroe, Malene Hein & Ravn, Hans F. & Schmidt, Rune, 2003. "Erratum to "Co-existence of electricity, TEP, and TGC markets in the Baltic Sea Region" [Energy Policy 31 (2003) 85-96]," Energy Policy, Elsevier, vol. 31(14), pages 1567-1569, November.
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    Cited by:

    1. Lambie, Neil Ross, 2010. "Understanding the effect of an emissions trading scheme on electricity generator investment and retirement behaviour: the proposed Carbon Pollution Reduction Scheme," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 54(2), pages 1-15.
    2. Tiho Ancev & Rimvydas Baltaduonis & Elizabeth Immer‐Bernold, 2021. "Regulating greenhouse gas emissions by an inter‐temporal policy mix: an experimental investigation," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 65(3), pages 512-538, July.
    3. Anabela Botelho & Eduarda Fernandes & Lígia Costa Pinto, 2010. "An experimental analysis of grandfathering vs dynamic auctioning in the EU ETS," NIMA Working Papers 39, Núcleo de Investigação em Microeconomia Aplicada (NIMA), Universidade do Minho.
    4. Coria, Jessica & Villegas-Palacio, Clara & Cárdenas, Juan Camilo, 2011. "Should we tax or let firms trade emissons? An experimental analysis with policy implications for developing countries," Working Papers in Economics 516, University of Gothenburg, Department of Economics.
    5. Veronika Grimm & Lyuba Ilieva, 2013. "An experiment on emissions trading: the effect of different allocation mechanisms," Journal of Regulatory Economics, Springer, vol. 44(3), pages 308-338, December.

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    More about this item

    Keywords

    Economics and Finance; Environment;

    JEL classification:

    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior

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