Abstract: As part of the Kyoto Protocol, many countries have committed themselves to substantially reduce the emission of greenhouse gases within a politically imposed time constraint. Investment subsidies can be an important instrument to stimulate the adoption of energy-saving technologies to achieve emission reduction targets. This paper addresses the impact of adoption subsidies on the amount of energy savings, taking into account endogeneity and uncertainty of technological progress. Neglecting these two characteristics of technological progress ten...
(read more)
Topics: 
Industrial organization
Environmental economics