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Greenhouse gases mitigation: global externalities and short-termism

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  • Semmler Willi
  • Di Bartolomeo Giovanni
  • Fard Behnaz Minooei

Abstract

Policies designed to control greenhouse gases imply domestic tradeoffs and international externalities, leading to domestic and international conflicts and influencing their feasibility and implementation. Our paper investigates two quantitative aspects of this debate. We intend to quantify the impact of (a) the internalization of international externalities, and (b) the damage associated with a short-term view of climate policies. In this respect, we adopt the innovative (in this field) idea of model predictive control to formalize moving-horizon policy strategies and, thus, to build counterfactuals characterized by a different horizon for all policymakers.

Suggested Citation

  • Semmler Willi & Di Bartolomeo Giovanni & Fard Behnaz Minooei, 2022. "Greenhouse gases mitigation: global externalities and short-termism," wp.comunite 00159, Department of Communication, University of Teramo.
    • Handle: RePEc:ter:wpaper:00159
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    Cited by:

    1. Semmler, Willi & Di Bartolomeo, Giovanni & Minooei Fard, Behnaz & Braga, Joao Paulo, 2022. "Limit pricing and entry game of renewable energy firms into the energy sector," Structural Change and Economic Dynamics, Elsevier, vol. 61(C), pages 179-190.
    2. Behnaz Minooei Fard & Willi Semmler & Giovanni Di Bartolomeo, 2023. "Rare Earth Elements: A game between China and the rest of the world," Working Papers in Public Economics 235, University of Rome La Sapienza, Department of Economics and Law.

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    More about this item

    JEL classification:

    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • P28 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Natural Resources; Environment
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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