Browsing Working Papers by Author "Murto, Pauli"

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    • Uncertainty and Energy Saving Investments 

      Murto, Pauli; Liski, Matti (MIT Center for Energy and Environmental Research Policy, 2010-03)
      Energy costs are notoriously uncertain but what is the effect of this on energysaving investments? We find that real-option frictions imply a novel equilibrium response to increasing but uncertain energy costs: early ...