Download or read book Modeling Biased Technical Change Implications for Climate Policy written by Carlo Carraro and published by . This book was released on 2012 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Climate-economy models aiming at quantifying the costs and effects of climate change impacts and policies have become important tools for climate policy decision-making. Although there are several important dimensions along which models differ, this paper focuses on a key component of climate change economics and policy, namely technical change. This paper tackles the issues of whether technical change is biased towards the energy sectors, the importance of the elasticity of substitution between factors in determining this bias and how mitigation policy is likely to affect it. The analysis is performed using the World Induced Technical Change model, WITCH. Three different versions of the model are proposed. The starting set-up includes endogenous technical change only in the energy sector. A second version introduces endogenous technical change in both the energy and non-energy sectors. A third version of the model embodies different sources of technical change, namely R&D and human capital. Although different formulations of endogenous technical change have only a minor influence on climate policy costs, the macroeconomic effects on knowledge and human capital formation can vary greatly.

Download or read book Understanding Risks and Uncertainties in Energy and Climate Policy written by Haris Doukas and published by Springer. This book was released on 2018-12-10 with total page 271 pages. Available in PDF, EPUB and Kindle. Book excerpt: This open access book analyzes and seeks to consolidate the use of robust quantitative tools and qualitative methods for the design and assessment of energy and climate policies. In particular, it examines energy and climate policy performance and associated risks, as well as public acceptance and portfolio analysis in climate policy, and presents methods for evaluating the costs and benefits of flexible policy implementation as well as new framings for business and market actors. In turn, it discusses the development of alternative policy pathways and the identification of optimal switching points, drawing on concrete examples to do so. Lastly, it discusses climate change mitigation policies’ implications for the agricultural, food, building, transportation, service and manufacturing sectors.

Download or read book Modeling Technological Change in Climate Policy Analyses Special Issue written by John Houghton and published by . This book was released on 2006 with total page 231 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Modeling Environment Improving Technological Innovations under Uncertainty written by Alexander Golub and published by Routledge. This book was released on 2008-12-08 with total page 433 pages. Available in PDF, EPUB and Kindle. Book excerpt: The issues of technology and uncertainty are very much at the heart of the policy debate of how much to control greenhouse gas emissions. The costs of doing so are present and high while the benefits are very much in the future and, most importantly, they are highly uncertain. Whilst there is broad consensus on the key elements of climate change science and agreement that near-term actions are needed to prevent dangerous anthropogenic interference with the climate system, there is little agreement on the costs and benefits of climate policy. The book looks at different ways of reconciling the needs for sustainability and equity with the costs of action now. Presenting a compendium of methodologies for evaluating the economic impact of technological innovation upon climate-change policy, this book describes mathematical models and their predictions. The goal is to provide a practitioner’s guide for doing the science of economics and climate change. Because the assumptions motivating different problems in the economics of climate change have different complexities, a number of models are presented with varying levels of difficulty: reduced-form and structural, partial- and general-equilibrium, closed-form and computational. A unifying theme of these models is the incorporation of a number of price and quantity instruments and an analysis of their respective efficacies. This book presents models that contain structural uncertainty, i.e., uncertainty that economic agents respond to via their risk attitudes. The novelty of this book is to relate the effects of risk and risk attitudes to environment-improving technological innovation.

Download or read book Modeling Technological Change in Climate Policy Analyses written by and published by . This book was released on 2006 with total page 231 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Modeling Technological Change in Climate Policy Analyses written by and published by . This book was released on 2006 with total page 231 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Representing Induced Technological Change in Models for Climate Policy Analysis written by Ian Sue Wing and published by . This book was released on 2006 with total page 562 pages. Available in PDF, EPUB and Kindle. Book excerpt: Induced technological change (ITC), whereby the relative price effects of reducing greenhouse gas emissions stimulate innovation that mitigates the cost of abatement, is both tantalizing to decision makers and challenging to represent in the computational economic and engineering models used to analyze climate change policy. This overview reconciles the divergent views of technology and technological change within different types of models, elucidates the theoretical underpinnings of ITC, introduces the reader to the techniques of their practical implementation, and evaluates the implications for models' results.

Download or read book Endogenizing Technological Change written by William A. Pizer and published by . This book was released on 2007 with total page 48 pages. Available in PDF, EPUB and Kindle. Book excerpt: Given that technologies to significantly reduce fossil fuel emissions are currently unavailable or only available at high cost, technological change will be a key component of any long-term strategy to reduce greenhouse gas emissions. In light of this, the amount of research on the pace, direction, and benefits of environmentally-friendly technological change has grown dramatically in recent years. This research includes empirical work estimating the magnitude of these effects, and modeling exercises designed to simulate the importance of endogenous technological change in response to climate policy. Unfortunately, few attempts have been made to connect these two streams of research. This paper attempts to bridge that gap. We review both the empirical and modeling literature on technological change. Our focus includes the research and development process, learning by doing, the role of public versus private research, and technology diffusion. Our goal is to provide an agenda for how both empirical and modeling research in these areas can move forward in a complementary fashion. In doing so, we discuss both how models used for policy evaluation can better capture empirical phenomena, and how empirical research can better address the needs of models used for policy evaluation.

Download or read book Technological Change and the Environment written by Arnulf Grübler and published by Routledge. This book was released on 2010-09-30 with total page 414 pages. Available in PDF, EPUB and Kindle. Book excerpt: Much is written in the popular literature about the current pace of technological change. But do we have enough scientific knowledge about the sources and management of innovation to properly inform policymaking in technology dependent domains such as energy and the environment? While it is agreed that technological change does not 'fall from heaven like autumn leaves,' the theory, data, and models are deficient. The specific mechanisms that govern the rate and direction of inventive activity, the drivers and scope for incremental improvements that occur during technology diffusion, and the spillover effects that cross-fertilize technological innovations remain poorly understood. In a work that will interest serious readers of history, policy, and economics, the editors and their distinguished contributors offer a unique, single volume overview of the theoretical and empirical work on technological change. Beginning with a survey of existing research, they provide analysis and case studies in contexts such as medicine, agriculture, and power generation, paying particular attention to what technological change means for efficiency, productivity, and reduced environmental impacts. The book includes a historical analysis of technological change, an examination of the overall direction of technological change, and general theories about the sources of change. The contributors empirically test hypotheses of induced innovation and theories of institutional innovation. They propose ways to model induced technological change and evaluate its impact, and they consider issues such as uncertainty in technology returns, technology crossover effects, and clustering. A copublication o Resources for the Future (RFF) and the International Institute for Applied Systems Analysis (IIASA).

Download or read book Does Endogenous Technical Change Make a Difference in Climate Policy Analysis A Robustness Exercise with the Feem Rice Model written by Marzio Galeotti and published by . This book was released on 2012 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Technical change is generally considered the key to the solution of environmental problems, in particular global phenomena like climate change. Scientists differ in their views on the thaumaturgic virtues of technical change. There are those who are confident that pollution-free technologies will materialize at some time in the future and will prevent humans from suffering the catastrophic consequences of climate change. Others believe that there are inexpensive technologies already available and argue the case for no-regret adoption policies (e.g. subsidies). Others again believe that the process of technological change responds to economic stimuli. These economic incentives to technological innovation are provided not only by forces that are endogenous to the economic system, but also by suitably designed environmental and innovation policies. In this paper, we consider and translate into analytical counterparts these different views of technical change. We then study alternative formulations of technical change and, with the help of a computerized climate-economy model, carry out a number of optimization runs in order to assess what type of technical change plays a role (assuming it does) in the evaluation of the impact of climate change and of the policies designed to cope with it.

Download or read book Integrated Assessment Models of Climate Change Economics written by Zheng Wang and published by Springer. This book was released on 2017-03-10 with total page 186 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book describes the principles of integrated assessment models (IAM) for climate change economics and introduces various computable models for different development mechanisms under climate change governance. The authors present several new models they have constructed based on the RICE framework, specifically the MRICES((multi-factor RICE)) and EMRICES models, which incorporate global economic interactions into the RICE framework, and the CINCIA model, which describes technological advances and industrial structure evolution, introducing the mechanism of evolutionary economics. The models discussed in the book help governments and policy-makers tackle climate change and take positive measures on climate governance as well as promote economic and social development to narrow the gaps between countries.

Download or read book Political Economy of the Environment written by Simon Dietz and published by Routledge. This book was released on 2011-02-01 with total page 318 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book is the culmination of several years work by a group of academics, policy-makers and other professionals looking to understand how alternative economic thinking – and indeed thinking from quite different social-scientific disciplines – could enhance the mainstream economic approach to environmental and natural-resource problems. Of the editors, Dietz comes from the mainstream economics tradition, while Michie and Oughton draw explicitly on institutional and evolutionary economics. The various authors represent a range of disciplinary backgrounds and approaches. This book draws on the strengths of each and all of these approaches to analyse environmental issues and what can be done to tackle these through corporate and public policy. The book argues that the need for an inter-disciplinary approach. Two themes which emerge repeatedly throughout the book are the need for an interdisciplinary theory of technological change, and the need for a similarly interdisciplinary approach to the study of human behaviour and how it influences both production and consumption choices. The two themes are of course related. Resolving environmental questions requires an understanding of their nature, of their causes and, to the extent that they are anthropogenic, of how to change human behaviour. These fundamental issues are the focus of the four chapters that form Part 1 of this volume. The remainder of the volume develops them in more detail. .

Download or read book Modeling Climate Change Impacts at the Science policy Boundary written by Marisa Beck and published by . This book was released on 2017 with total page 164 pages. Available in PDF, EPUB and Kindle. Book excerpt: Climate change is a daunting policy challenge, where decision-makers must respond to a high-uncertainty and high-risk problem in an environment with a diverse multitude of stakeholders and unresolved ethical questions. For the past 25 years, integrated assessment models (IAMs) of global climate change have become standard tools for informing climate policy. IAMs are computer models that combine representations of biophysical systems and socioeconomic systems; they are used to simulate the causes, dynamics, and impacts of climate change. While IAMs are typically developed by scientists, their explicit purpose is to generate policy-relevant information. In this paper-based dissertation, I use a pragmatic model of science-policy relations as a theoretical and normative framework to examine the production and application of IAMs. My research contributes conceptually and empirically to the existing scholarship on the role of scientific models in policymaking. Together, the three articles included in this dissertation advance our understanding of the various inputs and outputs of policy-relevant scientific models, using climate change IAMs as a case study. In Article #1, my co-author and I investigate the sources and consequences of the numerous difficult modeling choices that IAM developers are required to make as a result of the pervasive uncertainty-both scientific and ethical-surrounding this topic. We argue that these choices are made in particular epistemic, ethical, and social contexts. Correspondingly, we illuminate the epistemic, ethical, and political consequences of these choices. Finally, adopting a co-productionist approach, we suggest that past modeling choices may constrain future model development by setting epistemic benchmarks, establishing ethical norms, and creating biases in academic publishing and policy application. We review and build on findings from various literatures to unpack the complex intersection of science, ethics, and politics that IAMs occupy. This leads us to suggest avenues for future empirical and theoretical research that may enable an integrated epistemic-ethical-political understanding of IAMs. Such transparency is necessary to judge the usefulness of IAMs in supporting climate change policymaking that is scientifically sound, ethically fair, and politically acceptable. Articles #2 and #3 extrapolate practical consequences from the conceptual groundwork established in Article #1. In Article #2, I apply a narrative research approach to examine how values and beliefs embedded in modeling choices may influence policy. I draw on research on the role of storytelling in scientific modeling, as well as a growing literature in policy studies investigating the influence of stories on policy outcomes. These two streams of research have yet to be connected in an investigation of how scientific models, in addition to delivering numerical results, also influence policy through the stories that are told with them. In this paper, I present a framework for analyzing the composition and content of policy-relevant stories produced with scientific models. I argue that an appreciation of these modeled stories is essential for a full understanding how models are used in policymaking-whether they are models of climate change, public health, or the economy. For illustration, I apply the framework to the analysis of stories produced with the DICE model, arguably the most prominent IAM of global climate change. In Article #3, I provide a normative, empirically grounded analysis of two of the major critiques of IAMs: that they are a) arbitrary and b) value-laden, and therefore unfit for policy use. Interviews and participant observations with IAM developers reveal that, indeed, many factors other than scientific theory and empirical observations influence modeling choices. The modelers also recognize that some of their choices in the modeling process do have a partially normative character. So, do these findings validate the above critiques and disqualify IAMs from policy use? Not necessarily. Current work in philosophy of science demonstrates the need for a more nuanced approach to this question, revealing that the ideal of objectively true and value-free models is unattainable-indeed, in some aspects, perhaps even undesirable. Instead, models should be evaluated with respect to their `fit for purpose.' Uncertain and value-laden assumptions should be addressed with transparency and conditionality. Adopting such a pragmatist perspective on IAMs, this paper concludes that IAMs are a useful, albeit imperfect, tool for assessing climate policy. Practical recommendations for how to enhance the usefulness of IAMs for policy are provided.

Download or read book The Role of Technology in Climate Change Policy Modeling written by Nathan B. Callard and published by . This book was released on 2002 with total page 96 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Essays on Endogenous Technical Change in Climate Policy Analysis written by Wei Jin and published by . This book was released on 2013 with total page 454 pages. Available in PDF, EPUB and Kindle. Book excerpt: This thesis consists of four papers studying endogenous technical change (TC) in climate policy analysis. The first paper provides a conceptual framework of analyzing the mechanism through which TC can be induced by climate mitigation policies. The second paper develops a computable general equilibrium (CGE) numerical model to quantitatively analyze the effect of endogenous TC on the timing and cost of carbon abatements. The third paper develops a multi-region modelling framework to examine the mechanism of international technology diffusion and its effect on domestic carbon savings. The fourth paper analyzes the mechanism of international technology coordination resulting from reciprocal cross-nation knowledge spillovers and its effect on global climate governance. The first paper, "Revisiting the mechanism of endogenous technical change for climate policy analysis", aims to reconcile the diverging specifications of endogenous TC in existing climate policy modeling literature. Drawing on the theory of R&D-induced TC, I provide a generalized framework to analyze the mechanism through which TC can be induced by climate mitigation policies. The second paper, "Can technological innovation help China take on its climate responsibility? A computable general equilibrium analysis", examines the effectiveness of China's indigenous R&D and technological innovation to cut its carbon emissions. The mechanism of endogenous TC is incorporated into a CGE numerical model. R&D investment and knowledge creation is modeled as the endogenous behavior of profit-seeking private producers. The accumulated stocks of productive knowledge are applied in a production process to induce the rate and bias of production TC. The third paper, "Can China harness globalization to reap domestic carbon savings? Modelling international technology diffusion in a multi-region framework", aims to examine the effect of globalization, particularly international technology diffusion, on reducing China's domestic carbon emissions. The single-country CGE model is extended into a multi-region framework, where both indigenous R&D and foreign technology diffusion are explicitly considered as two sources of endogenous TC for domestic carbon savings. The model systematically describes foreign technology diffusion through three diffusion channels of trade, foreign direct investment (FDI) and disembodied knowledge spillovers, with an elaborate treatment of local knowledge absorptive capacity. The fourth paper, "International knowledge spillover and technology externality: Why multilateral R&D coordination matter for global climate governance", investigates the mechanism of international technology cooperation and its effect on lowering global climate mitigation cost, with an aim of exploring the potentials of complementing international emission-based agreements with technology cooperation in the post-2012 climate regime. For that purpose, this paper firstly presents an analytical framework that describes how the mechanism of international R&D coordination can work for climate change mitigation. This mechanism is then quantitatively examined in a multi-region global numerical model that explicitly considers multilateral knowledge spillovers and resulting technology externality for global climate governance.

Download or read book How Does Climate Policy Affect Technical Change An Analysis of the Direction and Pace of Technical Progress in a Climate Economy Model written by Carlo Carraro and published by . This book was released on 2012 with total page 41 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper analyses whether and how a climate policy designed to stabilize greenhouse gases in the atmosphere is likely to change the direction and pace of technical progress. The analysis is performed using an upgraded version of WITCH, a dynamic integrated regional model of the world economy. In this version, a non-energy Ramp;D Sector, which enhances the productivity of the capital-labor aggregate, has been added to the energy Ramp;D sector included in the original WITCH model. We find that, as a consequence of climate policy, Ramp;D is re-directed towards energy knowledge. Nonetheless, total Ramp;D investments decrease, due to a more than proportional contraction of non-energy Ramp;D. Indeed, when non-energy and energy inputs are weakly substitutable, the overall contraction of the economic activity associated with a climate policy induces a decline in total Ramp;D investments. However, enhanced investments in energy Ramp;D and in the energy sector are found not to ldquo;crowd-outrdquo; investments in non-energy Ramp;D.

Download or read book Special Issue Modeling Technoloical Change in Climate Policy Analyses written by John Houghton and published by . This book was released on 2006 with total page 227 pages. Available in PDF, EPUB and Kindle. Book excerpt: