Strategic information acquisition and the mitigation of global warming
[Strategische Informationsakquise und der Kampf gegen den Klimawandel]
We consider the strategic role of uncertainty and information acquisition for the mitigation of global warming which is modeled using a standard framework for private provision of a public good. Prior to the voluntary contribution mechanism, we allow for investments in information about the country-specific benefit of reductions of the emissions of greenhouse gases. We show that information acquisition has a substantial strategic value in the following interaction. Countries may prefer not to learn their valuation of the public good even if information acquisition does not involve a direct cost. This strategic information choice may further decrease the efficiency of the public good provision.
|Date of creation:||2008|
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