All pages with keywords: trading decisions

The endogenous price dynamics of emission allowances and an application to CO2 option pricing

The endogenous price dynamics of emission allowances and an application to CO2 option pricing

a research article by Luca Taschini 20 February, 2012

Market mechanisms are increasingly being used as a tool for allocating somewhat scarce but unpriced rights and resources, and the European Emission Trading Scheme is an example. By means … read more »


Pollution permits, strategic trading and dynamic technology adoption

Pollution permits, strategic trading and dynamic technology adoption

a working paper by Luca Taschini 1 May, 2011

This paper analyses the dynamic incentives for technology adoption under a transferable permits system, which allows for strategic trading on the permit market. Initially, firms can … read more »