The risk-adjusted carbon price

A popular model of economy and climate change has logarithmic preferences and damages proportional to the carbon stock in which case the certainty-equivalent carbon price is optimal. We allow for different aversions to risk and intertemporal fluctuations, convex damages, uncertainties in economic gr...

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Bibliographic Details
Main Authors: Van der Ploeg, R, van den Bremer, T
Format: Working paper
Published: University of Oxford 2018