Emissions trading and profit-neutral grandfathering
This paper examines the amount of grandfathering needed for an emissions trading scheme (ETS) to have a neutral impact on firm profits. We provide a simple formula to calculate profit-neutral grandfathering in a Cournot model with firms of different sizes and a general demand function. Using this fo...
| Main Authors: | , , |
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| Format: | Working paper |
| Published: |
University of Oxford
2006
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