IDEAS home Printed from https://ideas.repec.org/p/zbw/zewdip/13007.html
   My bibliography  Save this paper

Modeling technological change in economic models of climate change: A survey

Author

Listed:
  • Löschel, Andreas
  • Schymura, Michael

Abstract

The assessment of climate change mitigation policies through economic modeling depends crucially on assumptions under which technological change has been incorporated in the model. Earlier climate-energy-economics modeling attempts heavily relied on the assumption of exogenous technological change. In this case, technological change is a function solely of time. However, such an approach seems insufficient, especially given developments in other fields of economic research that have helped to explain in more detail the process of technological change. A lot of research has been done hence on endogenizing technological change in large-scale models. The purpose of this paper is to summarize these efforts. We describe different model types and their treatment of exogenous technological change (autonomous energy efficiency improvements and backstop technologies) and endogenous technological change (including price inducement, learning-by-doing, investments in R & D and directed technical change). We conclude with some open questions and suggestions for future research.

Suggested Citation

  • Löschel, Andreas & Schymura, Michael, 2013. "Modeling technological change in economic models of climate change: A survey," ZEW Discussion Papers 13-007, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  • Handle: RePEc:zbw:zewdip:13007
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/69503/1/736275959.pdf
    Download Restriction: no

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Dr. Kirsten S. Wiebe & Dr. Christian Lutz, 2013. "The Renewable Power Generation Module (RPGM) – An extension to the GWS model family to endogenize technological change in the renewable power generation sector," GWS Discussion Paper Series 13-7, GWS - Institute of Economic Structures Research.
    2. repec:wsi:ccexxx:v:04:y:2013:i:supp0:n:s2010007813400034 is not listed on IDEAS
    3. Dr. Christian Lutz & Dr. Markus Flaute & Dr. Ulrike Lehr & Dr. Kirsten Svenja Wiebe, 2015. "Economic impacts of renewable power generation technologies and the role of endogenous technological change," GWS Discussion Paper Series 15-9, GWS - Institute of Economic Structures Research.
    4. Kirsten Svenja Wiebe & Ulrike Lehr & Christian Lutz, 2013. "Green change – endogenizing technical progress in the renewable power generation sector," EcoMod2013 5117, EcoMod.
    5. Wiebe, Kirsten S. & Lutz, Christian, 2016. "Endogenous technological change and the policy mix in renewable power generation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 60(C), pages 739-751.
    6. Claudio Baccianti & Andreas Löschel, 2015. "Investment-specific vs Process Innovation in a CGE model of Environmental Policy," WWWforEurope Working Papers series 85, WWWforEurope.

    More about this item

    Keywords

    Exogenous Technical Change; Endogenous Technological Change; Price inducement; Learning-by-doing; Directed Technical Change; Modeling;

    JEL classification:

    • C50 - Mathematical and Quantitative Methods - - Econometric Modeling - - - General
    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:zbw:zewdip:13007. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (ZBW - German National Library of Economics). General contact details of provider: http://edirc.repec.org/data/zemande.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.