The Value of ITC under Climate Stabilization

Arbeitspapier

We assess the effect of ITC in a global growth model, DEMETER-1CCS, with learning by doing where energy savings, an energy transition, and carbon capturing and sequestration (CCS) are the main options for emissions reductions. The model accounts for technology based on learning by doing embodied in capital installed in previous periods. We have run five scenarios, one baseline scenario in which climate change policy is assumed absent, and four stabilization scenarios in which atmospheric CO2 concentrations are stabilized at 550, 500, 450, and 400 ppmv. We find that the timing of emission reductions and the investment strategy is relatively independent of the endogeneity of technological change. The vintages structure of production is more important. But ITC reduces costs by about factor 2, though these benefits only materialize after some decades.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Nota di Lavoro ; No. 126.2005

Classification and Topics

• Classification: Wirtschaft ; Energy and the Macroeconomy ; Climate; Natural Disasters and Their Management; Global Warming ; Environmental Economics: Technological Innovation
• Subject: Energy ; Carbon taxes ; Endogenous technological change ; Niche markets ; Klimaschutz ; Technischer Fortschritt ; Lernprozess ; Klimaveränderung ; Umweltplanung ; Wachstumstheorie ; Welt

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Gerlagh, Reyer
• Event: Veröffentlichung
• (who): Fondazione Eni Enrico Mattei (FEEM)
• (where): Milano
• (when): 2005

Further information

• Handle: http://hdl.handle.net/10419/74265
• Last update: 10.03.2025, 11:44 AM CET