To Mitigate or to Adapt to Climate Change: Environmental Policies vs. Ecological Consequences

Presenter(s)

Yuri Yatsenko

Abstract

Pollution mitigation and environmental adaptation are essential components of long-term environmental policies to combat environmental damages on national and international levels. A suggested economic-environmental model aims to analyze strategic behavior of several countries engaged in capital accumulation, pollution mitigation, and environmental adaptation in the context of an environmental common good. Both cooperative and non-cooperative strategies are discussed. The non-cooperative strategy is a dynamic game in which each country makes its own environmental decision following the open-loop Nash equilibrium. The cooperative social planner problem assumes an international environmental agreement in force. It is shown that the non-cooperative strategy in multi-country world leads to over-production, over-consumption, over-adaptation, over-pollution, and resulting negative impact on ecosystems.

Topic

Climate Change

Start Date

6-16-2016 8:30 AM

End Date

6-16-2016 8:50 AM

Room

High Country Conference Center

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Jun 16th, 8:30 AM Jun 16th, 8:50 AM

To Mitigate or to Adapt to Climate Change: Environmental Policies vs. Ecological Consequences

High Country Conference Center

Pollution mitigation and environmental adaptation are essential components of long-term environmental policies to combat environmental damages on national and international levels. A suggested economic-environmental model aims to analyze strategic behavior of several countries engaged in capital accumulation, pollution mitigation, and environmental adaptation in the context of an environmental common good. Both cooperative and non-cooperative strategies are discussed. The non-cooperative strategy is a dynamic game in which each country makes its own environmental decision following the open-loop Nash equilibrium. The cooperative social planner problem assumes an international environmental agreement in force. It is shown that the non-cooperative strategy in multi-country world leads to over-production, over-consumption, over-adaptation, over-pollution, and resulting negative impact on ecosystems.