Designing Environmental Markets for Trading Catch Shares

2019 ◽  
Vol 49 (5) ◽  
pp. 324-337
Author(s):  
Martin Bichler ◽  
Douglas Ferrell ◽  
Vladimir Fux ◽  
Jacob K. Goeree
2013 ◽  
Vol 27 (3) ◽  
pp. 515-535 ◽  
Author(s):  
Lana Friesen ◽  
Lata Gangadharan

2010 ◽  
Vol 3 (4) ◽  
Author(s):  
Dietmar Grimm ◽  
Judd Boomhower ◽  
Jason Blau
Keyword(s):  

Marine Policy ◽  
2010 ◽  
Vol 34 (3) ◽  
pp. 710-712 ◽  
Author(s):  
Florian K. Diekert ◽  
Anne Maria Eikeset ◽  
Nils Chr. Stenseth
Keyword(s):  

2018 ◽  
Vol 53 (4) ◽  
pp. 1653-1678 ◽  
Author(s):  
Steffen Hitzemann ◽  
Marliese Uhrig-Homburg

This article presents a stochastic equilibrium model for environmental markets that allows us to study the characteristic properties of emission permit prices induced by the design of today’s cap-and-trade systems. We characterize emission permits as highly nonlinear contingent claims on economy-wide emissions and reveal their hybrid nature between investment and consumption assets. Our model makes predictions about the dynamics and volatility structure of emission permit prices, the forward price curve, and the implications for option pricing in this market. Empirical evidence from existing emissions markets shows that the model explains the stylized facts of emission permit prices and related derivatives.


Sign in / Sign up

Export Citation Format

Share Document