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Distributional biases in the analysis of climate change

Author

Listed:
  • Peter Skott

    () (University of Massachusetts Amherst)

  • Leila Davis

    () (University of Massachusetts Amherst)

Abstract

The economic analysis of global warming is dominated by models based on optimal growth theory. These representative-agent models have an intrinsic distributional bias in favor of the rich. The bias is compounded by the se of revenue-neutrality in the allocation of emission permits. The result is mitigation recommendations that are biased downwards. JEL Categories: Q13, I3, E1

Suggested Citation

  • Peter Skott & Leila Davis, 2011. "Distributional biases in the analysis of climate change," UMASS Amherst Economics Working Papers 2011-22, University of Massachusetts Amherst, Department of Economics.
  • Handle: RePEc:ums:papers:2011-22
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    File URL: http://www.umass.edu/economics/publications/2011-22.pdf
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    References listed on IDEAS

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    Cited by:

    1. Peter Skott, 2016. "Aggregate demand, functional finance, and secular stagnation," European Journal of Economics and Economic Policies: Intervention, Edward Elgar Publishing, vol. 13(2), pages 172-188, September.
    2. S. Scrieciu & Valerie Belton & Zaid Chalabi & Reinhard Mechler & Daniel Puig, 2014. "Advancing methodological thinking and practice for development-compatible climate policy planning," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 19(3), pages 261-288, March.
    3. Zhou, P. & Wang, M., 2016. "Carbon dioxide emissions allocation: A review," Ecological Economics, Elsevier, vol. 125(C), pages 47-59.

    More about this item

    Keywords

    representative agent; welfare; global warming; inequality.;

    JEL classification:

    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness
    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • E1 - Macroeconomics and Monetary Economics - - General Aggregative Models

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