R&D Subsidies and Climate Policy: Is There a "Free Lunch"?
Using the ENTICE model, the author analyzes the effectiveness of government subsidies to climate-friendly research and development (R&D) projects. While R&D subsidies do lead to significant increases in climate-friendly R&D, this R&D has little impact on the climate itself.
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Available for purchase at: http://papers.nber.org/papers/W10880