nep-res New Economics Papers
on Resource Economics
Issue of 2009‒06‒03
three papers chosen by
Maximo Rossi
Universidad de la Republica

  1. Pollution and Land Use: Optimum and Decentralization By Oded Hochman; Gordon Rausser; Richard Arnott
  2. An economic view of carbon allowances market By Marius-Cristian Frunza; Dominique Guegan
  3. Polluting Non-Renewable Resources, Carbon Abatement and Climate Policy in a Romer Growth Model By GRIMAUD, André; MAGNE, Bertrand; ROUGE, Luc

  1. By: Oded Hochman (Department of Economics, Ben Gurion University of the Negev); Gordon Rausser (University of California, Berkeley); Richard Arnott (Department of Economics, University of California Riverside)
    Date: 2008–03
  2. By: Marius-Cristian Frunza (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Panthéon-Sorbonne - Paris I, Sagacarbon - Sagacarbon SA); Dominique Guegan (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Panthéon-Sorbonne - Paris I, EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris)
    Abstract: The aim of this work is to bring an econometric approach upon the CO2 market. We identify the specificities of this market, and regarding the carbon as a commodity. We investigate the econometric particularities of CO2 prices behavior and their result of the calibration. We apprehend and explain the reasons of the non-Gaussian behavior of this market focusing mainly upon jump diffusion and generalized hyperbolic distributions. We test these results for the risk modeling of a structured product specific to the carbon market, the swap between two carbon instruments : The European Union Allowances and the Certiified Emission Reductions. We estimate the counterparty risk for this kind of transaction and evaluate the impact of different models upon the risk measure and the allocated capital.
    Keywords: Carbon, Normal Inverse Gaussian, CER, EUA, swap.
    Date: 2009–05
  3. By: GRIMAUD, André (Toulouse School of Economics (IDEI and LERNA)); MAGNE, Bertrand (International Energy Agency); ROUGE, Luc (Université de Toulouse, Toulouse Business School)
    JEL: O32 O41 Q20 Q32
    Date: 2009–03

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