Distributional biases in the analysis of climate change

Authors

Peter Skott, University of Massachusetts AmherstFollow
Leila Davis, University of Massachusetts AmherstFollow

Working Paper Number

2011-22

Publication Date

2011

Abstract

The economic analysis of global warming is dominated by models based on optimal growth theory. These representative-agent models have an intrinsic distributional bias in favor of the rich. The bias is compounded by the se of revenue-neutrality in the allocation of emission permits. The result is mitigation recommendations that are biased downwards.

DOI

https://doi.org/10.7275/3317883

Recommended Citation

Skott, Peter and Davis, Leila, "Distributional biases in the analysis of climate change" (2011). Economics Department Working Paper Series. 130.
https://doi.org/10.7275/3317883