Absolute vs. Intensity Limits for CO2 Emission Control: Performance Under Uncertainty
Name
MITJPSPGC_Rpt130.pdf
Size
1021.15 KB
Format
Adobe PDF
Checksum (MD5)
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Author(s)
Sue Wing, Ian.
Ellerman, A. Denny.
Song, Jaemin.
Date Issued
January 2006
Publisher
MIT Joint Program on the Science and Policy of Global Change
Citation
Report no. 130
Series/Report no.
Report no. 130
Abstract
We elucidate the differences between absolute and intensity-based limits of CO2 emission when there is uncertainty about the future. We demonstrate that the two limits are identical under certainty, and rigorously establish their relative attractiveness under two criteria: preservation of expectations—the minimization of the difference between the actual level and the initial expectation of abatement associated with a one-shot emission target, and temporal stability—the minimization of the variance of abatement due to fluctuations in emissions and GDP over time. Empirical tests of these theoretical propositions indicate that intensity caps are preferable for a broad range of emission reduction commitments. This finding is robust for developing countries, but is more equivocal for developed economies.
Description
Abstract in HTML and technical report in PDF available on the Massachusetts Institute of Technology Joint Program on the Science and Policy of Global Change website (http://mit.edu/globalchange/www/).
Subjects
climate change policy
emission caps
intensity targets
dynamic targets
Persistent DSpace Link
