A coupled game solved with the homogeneous version of OBOE to model Post Kyoto international climate policy

This paper presents a game-theoretic model for the international negotiations that should take place to renew or extend the Kyoto protocol beyond 2012. These negotiations should lead to a self-enforcing agreement on a burden sharing scheme to realize the necessary global emissions abatement that would preserve the world against irreversible ecological impacts. The model assumes a non-cooperative behavior of the parties except for the fact that they will be collectively committed to reach a target on total cumulative emissions by the year 2050. The concept of normalized equilibrium, introduced by J.B. Rosen for concave games with coupled constraints, is used to characterize a family of dynamic equilibrium solutions in an m-player game where the agents are (groups of) countries and the payoffs are the welfare gains obtained from a Computable General Equilibrium (CGE) model. The model is solved using an homogenous version of the oracle-based engine (OBOE) permitting an implicit definition of the payoffs to the different players, obtained through simulations performed with the global CGE model GEMINI-E3.


Editor(s):
Breton, Michèle
Szajowski, Krzysztof
Published in:
Advances in Dynamic Games: Theory, Applications, and Numerical Methods for Differential and Stochastic Games, Part IV, 469-488
Year:
2011
Publisher:
New York Dordrecht Heidelberg London, Springer
ISBN:
9780817680886
Keywords:
Laboratories:


Note: The status of this file is: EPFL only


 Record created 2009-02-18, last modified 2018-09-13

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