Climate change: discount or not? future generations don't care that much.

This paper proposes a new way to model the cost of climate change, based on a vintage capital modeling. Climate change destroys capital, according to the difference between the current climate and the climate that prevailed when a given durable was built. This assumption is meant to account for the adaptation of economic agents to the changing climate. The main result is that the carbon tax is much less sensitive to the rate of time preference than in the Stern-Nordhaus controversy. Moreover, despite an estimate of the cost in line with Nordhaus' estimate for the 21st century, we find an optimal carbon tax much lower than his one.global warming, stock pollution, carbon tax, discount rate

Coordination cost and the distance puzzle

Since 1960, transport costs have been falling, but international exchange did not become less sensitive to distance. We propose the following explanation for this puzzle: in a Dixit-Stiglitz framework, a decrease in transport cost favors trade, which may increase the international specialization (i.e. the number of varieties of intermediate goods used in production). An increased international specialization increases the need for coordination, and makes relatively more important for downstream firms to be close to their suppliers. As a result, trade increases with all partners, but more quickly for neighbors than for distant countries.Transport cost ; coordination cost ; international trade ; distance puzzle

International coordination over emissions and R&D expenditures: What does oil scarcity change?

In this paper, we studied the problem of international coordination in climate policy using three state-variables (oil marginal extraction cost, pollution and knowledge), two asymmetric countries and a differential game. We used a Monte Carlo procedure to obtain an insight into the behaviour of the model. We discutes the importance of R&D in international agreements and the impact of economic growth in developing countries.Climate change ; diffential games ; nonrenewable resources

Polluting nonrenewable resources: decentralization of the optimum in the presence of market power

In this paper, I study the strategic interactions between a country that owns a monopoly on a polluting non renewable resource (basically, the OPEC), and a representative of countries that both consume the resource and are hurt by its pollution. Both pollution control and rent captation are at stake in this model.nonrenewable resources ; stok pollution ; differetial games

Climate change: discount or not? future generations don't care that much.

This paper proposes a new way to model the cost of climate change, based on a vintage capital modeling. Climate change destroys capital, according to the difference between the current climate and the climate that prevailed when a given durable was built. This assumption is meant to account for the adaptation of economic agents to the changing climate. The main result is that the carbon tax is much less sensitive to the rate of time preference than in the Stern-Nordhaus controversy. Moreover, despite an estimate of the cost in line with Nordhaus' estimate for the 21st century, we find an optimal carbon tax much lower than his one

Niurong as the target for NGDP targeting: Mario Draghi's nightmare?

NGDP targeting is presented by some macroeconomists as a good practice for central banks. But what should be the target value? I propose a relevant measure: the Non Increasing Unemployment Rate Of Nominal Growth (NIURONG). I use NIURONG to show how difficult would have been for European Central Bank to implement a relevant monetary policy for each Euro Area country in front of post-2008 economic downturn

Climate change: discount or not? future generations don't care that much.

This paper proposes a new way to model the cost of climate change, based on a vintage capital modeling. Climate change destroys capital, according to the difference between the current climate and the climate that prevailed when a given durable was built. This assumption is meant to account for the adaptation of economic agents to the changing climate. The main result is that the carbon tax is much less sensitive to the rate of time preference than in the Stern-Nordhaus controversy. Moreover, despite an estimate of the cost in line with Nordhaus' estimate for the 21st century, we find an optimal carbon tax much lower than his one

Svrha umjetnosti: inteligentni dijalog ili puki ukras?

This article includes a presentation of the Chiricahua Apache sculptors Allan Houser and his son Bob Haozous, as well as a synthesis of two interviews I conducted with Bob Haozous in Santa Fe, New Mexico, in July 2013 and 2014. In this interview, upon which I will comment when I feel necessary, Bob Haozous voices his opinion of his father’s artwork, which, to his mind, conveys a romanticized view of Native Americans. According to him, Allan Houser’s portrayal of dignified and beautiful Indians cannot be divorced from a specific economic and political context. He also critiques the Indian Market as being the portrait of a romanticized history. Indeed, art that reflects the real plight of Natives is missing from the works exhibited at Indian markets, especially the one that is held in August in Santa Fe, New Mexico. For Bob Haozous, Native artists should use art as both an internal dialogue and as a political statement. His particular view of Indian identity as a philosophy, and not as a genetically-determined identity, is also groundbreaking, as is his artistic critique of Indians who have become ‘cultural zombies.’Ovaj članak prikazuje lik i djelo kipara Allana Housera i njegova sina Boba Haozousa, pripadnike naroda Chiricahua Apache, kroz sintezu dvaju razgovora s Bobom Haozousom vođenih u srpnju 2013. i 2014. godine u Santa Feu u Novom Meksiku. U tim razgovorima, koje ću po potrebi komentirati, Bob Haozous izrazio je svoje mišljenje o očevim umjetničkim djelima koja prema njegovu mišljenju prenose romantizirano viđenje Indijanaca. Za Boba Haozousa Allanov portret dostojanstvenih i lijepih Indijanaca neodvojiv je od određenog ekonomskog i političkog konteksta. On također kritizira Sajam indijanskih kultura kao ogledalo romantizirane povijesti starosjedilaca. Doista, umjetnost koja prikazuje pravu stvarnost i nedaće starosjedilaca nije prisutna u radovima izloženima na sajmovima indijanskih kultura, posebice na onom koji se održava u kolovozu u Santa Feu u Novom Meksiku. Bob Haozous drži da starosjedilački umjetnici ne bi trebali rabiti umjetnost samo kao unutarnji dijalog, nego i kao oblik političke poruke. Njegovo viđenje indijanskog identiteta kao filozofije, a ne genetski određenog identiteta, također je revolucionarno, kao što je i njegova umjetnička kritika Indijanaca koji su postali „kulturalni zombiji“

Ressource non renouvelable polluante : décentralisation de l'optimum en présence d'un pouvoir de marché

In this paper, I study the strategic interactions between a country that owns a monopoly on a polluting non renewable resource (basically, the OPEC), and a representative of countries that both consume the resource and are hurt by its pollution. Both pollution control and rent captation are at stake in this model