R&D in clean technology: A project choice model with learning

Koki Oikawa, Shunsuke Managi

研究成果: Article査読

3 被引用数 (Scopus)

抄録

In this study, we investigate the qualitative and quantitative effects of an R&D subsidy for a clean technology and a Pigouvian tax on a dirty technology on environmental R&D when it is uncertain how long the research takes to complete. The model is formulated as an optimal stopping problem, in which the number of successes required to complete the R&D project is finite and learning about the probability of success is incorporated. We show that the optimal R&D subsidy with the consideration of learning is higher than that without it. We also find that an R&D subsidy performs better than a Pigouvian tax unless suppliers have sufficient incentives to continue cost-reduction efforts after the new technology successfully replaces the old one. Moreover, by using a two-project model, we show that a uniform subsidy is better than a selective subsidy.

本文言語English
ページ(範囲)175-195
ページ数21
ジャーナルJournal of Economic Behavior and Organization
117
DOI
出版ステータスPublished - 2015 9 1

ASJC Scopus subject areas

  • 経済学、計量経済学
  • 組織的行動および人的資源管理

フィンガープリント

「R&D in clean technology: A project choice model with learning」の研究トピックを掘り下げます。これらがまとまってユニークなフィンガープリントを構成します。

引用スタイル