Carbon Prices for The Next Hundred Years

Dados Bibliográficos

ID9720693
AutoresReyer Gerlagh (0000-0001-9781-9212, Tilburg University), Matti Liski (0000-0002-8313-6231, Aalto University)
Ano2018
Volume128
Fascículo609
Páginas728-757
Data de publicação2018-03-01
Peer ReviewedSim
Open AccessSim
TipoARTICLE
PeriódicoThe Economic Journal (JOURNAL)
Identificadores do periódicoISSN: 0013-0133 • E-ISSN: 1468-0297
EditoraOxford University Press (OUP) (PUBLISHER)
DOI10.1111/ecoj.12436
OpenAlexW653696280
IdiomaEN
Citações recebidas9
Referências citadas57

This article examines the socially optimal pricing of carbon emissions over time when climate‐change impacts are unknown, potentially high‐consequence events. The carbon price tends to increase with income. But learning about impacts, or their absence, decouples the carbon price from income growth. The price should grow faster than the economy if the past warming is not substantial enough for learning the true long‐run social cost. It grows slower than the economy as soon as the warming generates information about events that could have arrived but have not done so. A quantitative assessment shows that the price grows roughly at the rate of the economy for the next 100 years

Carbon fibers · Carbon price · Climate change · Economics · Economy · Global warming · Greenhouse gas · Microeconomics · Natural resource economics · Social cost · Climate Change Policy and Economics · Ecology · Economic and Environmental Valuation · Energy, Environment, and Transportation Policies