We consider the problem of stopping a diffusion process with a payoff functional involving probability distortion. We study stopping decisions of naïve agents who reoptimize continuously in time, as well as equilibrium strategies of sophisticated agents who anticipate but lack control over their future selves’ behaviors.
Article published in Environmental and Resource Economics – September 2017 Abstract. We consider a partial equilibrium model to study the optimal phasing out of...
Common dynamical properties of business cycle fluctuations are studied in a sample of more than 100 countries that represent economic regions from all around the world.
The CoCEB model is used to evaluate hypotheses on the long-term effect of investment in emission abatement, and on the comparative efficacy of different approaches to abatement. While many studies in the literature treat abatement costs as an unproductive loss of income, we show that mitigation costs do slow down economic growth over the next few decades, but only up to the mid-21st century or even earlier; growth reduction is compensated later on by having avoided climate negative impacts
Article published in Physica A: Statistical Mechanics and its Applications (August 2017). Abstract. In this paper we consider some elementary and fair zero-sum games...
This paper presents novel approach about ethnic polarization in a country and extends its relevance beyond social conflict and civil wars to subjective well-being (SWB) and relational capabilities construct.
Published in Energy Policy June 2017. This paper studies merger incentives for polluting Cournot firms under a competitive tradable emission permits market.
Published in Energy Policy – Vol 104 – May 2017. We study the importance in terms of CO2 emissions the extra amount of energy necessary to cover losses. With this purpose we use Spanish market and system data with hourly frequency from 2011 to 2013. Our results show that indeed electricity losses significantly explain CO2 emissions, with a higher CO2 emissions rate when covering losses than the average rate of the system.
