Theo Konc, Linus Mattauch, Nicholas Stern – For climate economics, preferences can and should be treated as endogenous

In economic analysis, preferences are usually assumed to be fixed. This article analyses the impacts of climate mitigation policies when preferences can change. It argues that carbon taxes can change climate preferences by affecting social norms and influencing preferences in social networks. 

Theo Konc is a post-doctoral researcher at the Technical University of Berlin, Linus Mattauch is Robert Bosch junior Professor at the Technical University of Berlin, Nicholas Stern is IG Patel Professor at LSE

Cross-posted from VoxEU


Be the first to comment

Leave a Reply

Your email address will not be published.