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Induced technical change and the cost of climate policy

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dc.creator Sue Wing, Ian.
dc.date 2003-10-27T16:07:15Z
dc.date 2003-10-27T16:07:15Z
dc.date 2003-09
dc.date.accessioned 2013-10-09T02:31:49Z
dc.date.available 2013-10-09T02:31:49Z
dc.date.issued 2013-10-09
dc.identifier no. 102
dc.identifier http://mit.edu/globalchange/www/abstracts.html#a102
dc.identifier http://hdl.handle.net/1721.1/3648
dc.identifier.uri http://koha.mediu.edu.my:8181/xmlui/handle/1721
dc.description This paper investigates the potential for a carbon tax to induce R&D, and for the consequent induced technical change (ITC) to lower the macroeconomic cost of abating carbon emissions. ITC is modelled within a general equilibrium simulation of the U.S. economy by the effects of emissions restrictions on the level and composition of aggregate R&D, the accumulation of the stock of knowledge, and the industry-level reallocation and substitution of intangible services derived therefrom. Contrary to other authors, I find that ITC's impact is large, positive and dominated by the latter "substitution effect," which mitigates most of the deadweight loss of the tax.
dc.description Abstract in HTML and technical report in PDF available on the Massachusetts Institute of Technology Joint Program on the Science and Policy of Global Change website (http://mit.edu/globalchange/www/).
dc.description This research was supported by the Offce of Science (BER), U.S. Department of Energy, Grant No. DE-FG02-02ER63484, and by funding from the MIT Joint Program on the Science and Policy of Global Change, which is supported by a consortium of government, industry and foundation sponsors.
dc.format 740056 bytes
dc.format application/pdf
dc.language en
dc.relation ;Report no. 102
dc.subject induced technical change
dc.subject climate-change policy
dc.subject computable general equilibrium models
dc.title Induced technical change and the cost of climate policy


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