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conference presentation

Technological substitution under climate-neutral pathways

Cocker, Fleance  
•
Vielle, Marc  
2023
28th Annual Conference of the European Association of Environmental and Resource Economists (EAERE 2023)

Achieving climate neutrality will require clean alternatives to entirely replace fossil technologies in most economic sectors. However, standard Computable General Equilibrium (CGE) frameworks, which are widely used to analyse climate policies and rely on nested Constant Elasticity of Substitution (CES) functions, are not well suited for simulating the full technological substitution implicit in deep decarbonization scenarios. This study presents an alternative modelling procedure, based on the logistic distribution, to overcome the “stickiness” of technological diffusion under CES functional forms. Deep decarbonization scenarios are simulated with a large-scale recursive-dynamic international CGE model to illustrate the advantages of the suggested approach.

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Type
conference presentation
Author(s)
Cocker, Fleance  
•
Vielle, Marc  
Date Issued

2023

Subjects

Deep decarbonization pathway

•

Constant Elasticity of Substitution

•

Logistic distribution

Peer reviewed

REVIEWED

Written at

EPFL

EPFL units
LEURE  
Event nameEvent placeEvent date
28th Annual Conference of the European Association of Environmental and Resource Economists (EAERE 2023)

Limassol, Cyprus

June 27-30, 2023

Available on Infoscience
July 6, 2023
Use this identifier to reference this record
https://infoscience.epfl.ch/handle/20.500.14299/198861
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