Arbeitspapier

Cooperation and Competition in Climate Change Policies: Mitigation and Climate Engineering when Countries are Asymmetric

We study a dynamic game of climate policy design in terms of emissions and solar radiation management (SRM) involving two heterogeneous regions or countries. Countries emit greenhouse gasses (GHGs), and can block incoming radiation by unilateral SRM activities, thus reducing global temperature. Heterogeneity is modelled in terms of the social cost of SRM, the environmental damages due to global warming, the productivity of emissions in terms of generating private benefits, the rate of impatience, and the private cost of geoengineering. We determine the impact of asymmetry on mitigation and SRM activities, concentration of GHGs, and global temperature, and we examine whether a trade-off actually emerges between mitigation and SRM. Our results could provide some insights into a currently emerging debate regarding mitigation and SRM methods to control climate change, especially since asymmetries seem to play an important role in affecting incentives for cooperation or unilateral actions.

Language
Englisch

Bibliographic citation
Series: Nota di Lavoro ; No. 101.2014

Classification
Wirtschaft
Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
Climate; Natural Disasters and Their Management; Global Warming
Subject
Climate Change
Mitigation
Solar Radiation Management
Cooperation
Differential Game
Asymmetry
Feedback Nash Equilibrium

Event
Geistige Schöpfung
(who)
Manoussi, Vassiliki
Xepapadeas, Anastasios
Event
Veröffentlichung
(who)
Fondazione Eni Enrico Mattei (FEEM)
(where)
Milano
(when)
2014

Handle
Last update
10.03.2025, 11:41 AM CET

Data provider

This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.

Object type

  • Arbeitspapier

Associated

  • Manoussi, Vassiliki
  • Xepapadeas, Anastasios
  • Fondazione Eni Enrico Mattei (FEEM)

Time of origin

  • 2014

Other Objects (12)