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Strategic information acquisition and the mitigation of global warming

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  • Morath, Florian

Abstract

We consider the strategic role of uncertainty and information acquisition for the mitigation of global warming. Before the countries decide on their contribution to a mitigation of global warming, they may invest in information about the country-specific benefit of reductions of the emissions of greenhouse gases. We show that information acquisition has a substantial strategic value. Countries may prefer not to learn their benefit of climate protection even if information acquisition does not involve a direct cost. This strategic information choice may further decrease the efficiency of the public good provision.

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  • Morath, Florian, 2010. "Strategic information acquisition and the mitigation of global warming," Journal of Environmental Economics and Management, Elsevier, vol. 59(2), pages 206-217, March.
    • Handle: RePEc:eee:jeeman:v:59:y:2010:i:2:p:206-217
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    Cited by:

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    2. Florian Morath, 2013. "Volunteering and the strategic value of ignorance," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 41(1), pages 99-131, June.
    3. repec:zbw:hohpro:336-11 is not listed on IDEAS
    4. Helm, Carsten & Wirl, Franz, 2014. "The principal–agent model with multilateral externalities: An application to climate agreements," Journal of Environmental Economics and Management, Elsevier, vol. 67(2), pages 141-154.
    5. repec:old:wpaper:336-11 is not listed on IDEAS
    6. Tsvetan G. Tsvetanov & Farhed A. Shah, 2012. "The Economics of Protection against Sea-Level Rise: An Application to Coastal Properties in Connecticut," Working Papers 10, University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy.
    7. Kuusela, Olli-Pekka & Laiho, Tuomas, 2020. "The role of research in common pool problems," Journal of Environmental Economics and Management, Elsevier, vol. 100(C).
    8. Hasson, Reviva & Löfgren, Åsa & Visser, Martine, 2010. "Climate change in a public goods game: Investment decision in mitigation versus adaptation," Ecological Economics, Elsevier, vol. 70(2), pages 331-338, December.
    9. Heike Auerswald & Kai A. Konrad & Marcel Thum, 2018. "Adaptation, mitigation and risk-taking in climate policy," Journal of Economics, Springer, vol. 124(3), pages 269-287, July.
    10. Carsten Helm & Franz Wirl, 2011. "International Environmental Agreements: Incentive Contracts with Multilateral Externalities," Working Papers V-336-11, University of Oldenburg, Department of Economics, revised Jun 2011.
    11. Altaghlibi, Moutaz & Wagener, Florian, 2019. "Unconditional aid and green growth," Journal of Economic Dynamics and Control, Elsevier, vol. 105(C), pages 158-181.

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    More about this item

    Keywords

    Environmental public goods Private provision of public goods Global warming Information acquisition Uncertainty;

    JEL classification:

    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

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