Authors
Valentina Bosetti, Carlo Carraro, Marzio Galeotti, Emanuele Massetti, Massimo Tavoni
Publication date
2006/6
Journal
The Energy Journal
Volume
27
Issue
2_suppl
Pages
13-37
Publisher
SAGE Publications
Description
The need for a better understanding of future energy scenarios, of their compatibility with the objective of stabilizing greenhouse gas concentrations, and of their links with climate policy, calls for the development of hybrid models. Hybrid because both the technological detail typical of Bottom Up (BU) models and the long run dynamics typical of Top Down (TD) models are crucially necessary. We present WITCH - World Induced Technical Change Hybrid model - a neoclassical optimal growth model (TD) with energy input detail (BU). The model endogenously accounts for technological progress, both through learning curves affecting prices of new vintages of capital and through R&D investments. In addition, the model captures the main economic interrelationships between world regions and is designed to analyze the optimal economic and environment policies in each world region as the outcome of a dynamic …
Total citations
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Scholar articles
V Bosetti, C Carraro, M Galeotti, E Massetti, M Tavoni - The Energy Journal, 2006