Arbeitspapier

The Role of Product and Process Innovation in CGE Models of Environmental Policy

In the last two decades, large scale CGE models used for environmental policy assessment underwent an important upgrade to integrate endogenous technological progress. Nevertheless, several complexities of innovation are still neglected even if they are of primary interest for policymakers. This paper provides a review of the current state of the art in the CGE modelling literature through a special lens. We discuss how existing models deal with different types of innovation (i.e. product and process innovation) and how differences in innovation activities influence modelling results. We also emphasise the implications of product innovation in a multisector framework, which has received little attention in the literature.

Language
Englisch

Bibliographic citation
Series: WWWforEurope Working Paper ; No. 68

Classification
Wirtschaft
One, Two, and Multisector Growth Models
Economic Growth and Aggregate Productivity: General
Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
Subject
CGE models
ecological innovation
economic growth path
green jobs
innovation
innovation policy
social innovation
socio-ecological transition
sustainable growth

Event
Geistige Schöpfung
(who)
Baccianti, Claudio
Löschel, Andreas
Event
Veröffentlichung
(who)
WWWforEurope
(where)
Vienna
(when)
2014

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Baccianti, Claudio
  • Löschel, Andreas
  • WWWforEurope

Time of origin

  • 2014

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