{"id":121994,"date":"2024-01-23T07:30:43","date_gmt":"2024-01-23T06:30:43","guid":{"rendered":"https:\/\/www.wifo.ac.at\/publication\/121994\/"},"modified":"2024-11-07T05:12:49","modified_gmt":"2024-11-07T04:12:49","slug":"testing-innovation-employment-and-distributional-impacts-of-climate-policy-packages-in-a-macro-evolutionary-systems-setting-wwwforeurope-working-paper-no-83","status":"publish","type":"publication","link":"https:\/\/www.wifo.ac.at\/en\/publication\/121994\/","title":{"rendered":"Testing Innovation, Employment and Distributional Impacts of Climate Policy Packages in a Macro-evolutionary Systems Setting. WWWforEurope Working Paper No. 83"},"content":{"rendered":"","protected":false},"featured_media":0,"template":"","class_list":["post-121994","publication","type-publication","status-publish","hentry"],"acf":{"subtitle":"","text":"Climate policy has been mainly studied with economic models that assume representative, rational agents. However, it aims at changing behaviour associated with carbon-intensive goods that is often subject to bounded rationality and social preferences, such as status and imitation. Here we use a macroeconomic multi-agent model with such features to test the effect of various policies on both environmental and economic performance. The model is particularly suitable to address distributional impacts of climate policies, not only because populations of many agents are included, but also as these are composed of different classes of households driven by specific motivations. We simulate various policy scenarios, combining in different ways a carbon tax, a reduction of labour taxes, subsidies for green innovation, a price subsidy to consumers for less carbon-intensive products, and green government procurement. The results show pronounced differences with those obtained by rational-agent model studies. It turns out that demand-oriented subsidies lead to lower unemployment and higher output, but perform less well in terms of carbon emissions. The supply-oriented subsidy for green innovation results in a significant reduction of carbon emissions with a slight reduction of unemployment.","onlinedate":"2015-04-01 12:00:00","lang":"English","publication_series":"WWWforEurope: Welfare, Wealth and Work for Europe","publication_date":"20150201","publication_date_year":"","publication_date_full":false,"publication_num_pages":"33","keywords":"[]","jelcodes":"[]","related_publications":"[]","pdf":356836,"zip":null,"link":"","monthly_report":false,"monthly_report_main":false,"monthly_report_volume":"","monthly_report_pages":"","monthly_report_pages_sort":"0","issue":"","journal":"","publisher":"","invisible":false,"external":false,"embargo_date":"2015-04-01 12:00:00","types":[81966],"research_groups":[3655],"collaboration":"","persons":[13173,13425,11789,4907,11279],"persons_data":"[{\"personId\":13173,\"personName\":\"Bernhard Rengs\",\"organisationNames\":[\"\u00c4AW and TU Vienna\"]},{\"personId\":13425,\"personName\":\"Manuel Scholz-W\u00e4ckerle\",\"organisationNames\":[\"WU Vienna\"]},{\"personId\":11789,\"personName\":\"Ardjan Gazheli\",\"organisationNames\":[]},{\"personId\":4907,\"personName\":\"Mikl\u00f3s Antal\",\"organisationNames\":[]},{\"personId\":11279,\"personName\":\"Jeroen C.J.M. van den Bergh\",\"organisationNames\":[\"UAB\"]}]","clients":[10692,10704,10722,32851],"subclients":[],"partners":[],"topics":[],"host_publication_title":"","host_publication_subtitle":"","place_of_publication":"","host_publication_editors":"[]","type_description":"","output_media":"","chapter":"","article_number":"","citations":"{\"apa\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_apa rendering_bookanthology rendering_apa rendering_bookanthology_apa\\\">Rengs, B., Scholz-W\u00e4ckerle, M., Gazheli, A.<span>, Antal, M.<\\\/span>, &amp; van den Bergh, J. C. J. M. (2015). <span><em>Testing Innovation, Employment and Distributional Impacts of Climate Policy Packages in a Macro-evolutionary Systems Setting. WWWforEurope Working Paper No. 83<\\\/em><\\\/span>. (WWWforEurope: Welfare, Wealth and Work for Europe). WIFO, Austrian Academy of Sciences and Vienna University of Technology, Vienna University of Economics and Business, Universitat Aut\u00f2noma de Barcelona. <a onclick=\\\"window.open(this.href, '_blank','noopener,noreferrer'); return false;\\\" href=\\\"https:\\\/\\\/www.wifo.ac.at\\\/wwa\\\/pubid\\\/57891\\\" class=\\\"link\\\"><span>https:\\\/\\\/www.wifo.ac.at\\\/wwa\\\/pubid\\\/57891<\\\/span><\\\/a><\\\/div>\",\"vancouver\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_vancouver rendering_bookanthology rendering_vancouver rendering_bookanthology_vancouver\\\">Rengs B, Scholz-W\u00e4ckerle M, Gazheli A<span>, Antal M<\\\/span>, van den Bergh JCJM. <span class=\\\"title\\\"><span>Testing Innovation, Employment and Distributional Impacts of Climate Policy Packages in a Macro-evolutionary Systems Setting. WWWforEurope Working Paper No. 83<\\\/span><\\\/span>. WIFO, Austrian Academy of Sciences and Vienna University of Technology, Vienna University of Economics and Business, Universitat Aut\u00f2noma de Barcelona; 2015.<\\\/div>\",\"bibtex\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_bibtex rendering_bookanthology rendering_bibtex rendering_bookanthology_bibtex\\\"><div>@book{edb5c846fb004a9db733ffdd28426587,<\\\/div><div>  title     = \\\"Testing Innovation, Employment and Distributional Impacts of Climate Policy Packages in a Macro-evolutionary Systems Setting. WWWforEurope Working Paper No. 83\\\",<\\\/div><div>  abstract  = \\\"Climate policy has been mainly studied with economic models that assume representative, rational agents. However, it aims at changing behaviour associated with carbon-intensive goods that is often subject to bounded rationality and social preferences, such as status and imitation. Here we use a macroeconomic multi-agent model with such features to test the effect of various policies on both environmental and economic performance. The model is particularly suitable to address distributional impacts of climate policies, not only because populations of many agents are included, but also as these are composed of different classes of households driven by specific motivations. We simulate various policy scenarios, combining in different ways a carbon tax, a reduction of labour taxes, subsidies for green innovation, a price subsidy to consumers for less carbon-intensive products, and green government procurement. The results show pronounced differences with those obtained by rational-agent model studies. It turns out that demand-oriented subsidies lead to lower unemployment and higher output, but perform less well in terms of carbon emissions. The supply-oriented subsidy for green innovation results in a significant reduction of carbon emissions with a slight reduction of unemployment.\\\",<\\\/div><div>  author    = \\\"Bernhard Rengs and Manuel Scholz-W{\\\\\\\"a}ckerle and Ardjan Gazheli and Mikl{\\\\'o}s Antal and \\\\{van den Bergh\\\\}, \\\\{Jeroen C.J.M.\\\\}\\\",<\\\/div><div>  note      = \\\"Innovation, Employment and Distributional Impacts of Climate Policy\\\",<\\\/div><div>  year      = \\\"2015\\\",<\\\/div><div>  month     = feb,<\\\/div><div>  language  = \\\"English\\\",<\\\/div><div>  series    = \\\"WWWforEurope: Welfare, Wealth and Work for Europe\\\",<\\\/div><p>}<\\\/p><\\\/div>\",\"ris\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_ris rendering_bookanthology rendering_ris rendering_bookanthology_ris\\\"><p>TY  - BOOK<\\\/p><p>T1  - Testing Innovation, Employment and Distributional Impacts of Climate Policy Packages in a Macro-evolutionary Systems Setting. WWWforEurope Working Paper No. 83<\\\/p><p>AU  - Rengs, Bernhard<\\\/p><p>AU  - Scholz-W\u00e4ckerle, Manuel<\\\/p><p>AU  - Gazheli, Ardjan<\\\/p><p>AU  - Antal, Mikl\u00f3s<\\\/p><p>AU  - van den Bergh, Jeroen C.J.M.<\\\/p><p>N1  - Innovation, Employment and Distributional Impacts of Climate Policy<\\\/p><p>PY  - 2015\\\/2<\\\/p><p>Y1  - 2015\\\/2<\\\/p><p>N2  - Climate policy has been mainly studied with economic models that assume representative, rational agents. However, it aims at changing behaviour associated with carbon-intensive goods that is often subject to bounded rationality and social preferences, such as status and imitation. Here we use a macroeconomic multi-agent model with such features to test the effect of various policies on both environmental and economic performance. The model is particularly suitable to address distributional impacts of climate policies, not only because populations of many agents are included, but also as these are composed of different classes of households driven by specific motivations. We simulate various policy scenarios, combining in different ways a carbon tax, a reduction of labour taxes, subsidies for green innovation, a price subsidy to consumers for less carbon-intensive products, and green government procurement. The results show pronounced differences with those obtained by rational-agent model studies. It turns out that demand-oriented subsidies lead to lower unemployment and higher output, but perform less well in terms of carbon emissions. The supply-oriented subsidy for green innovation results in a significant reduction of carbon emissions with a slight reduction of unemployment.<\\\/p><p>AB  - Climate policy has been mainly studied with economic models that assume representative, rational agents. However, it aims at changing behaviour associated with carbon-intensive goods that is often subject to bounded rationality and social preferences, such as status and imitation. Here we use a macroeconomic multi-agent model with such features to test the effect of various policies on both environmental and economic performance. The model is particularly suitable to address distributional impacts of climate policies, not only because populations of many agents are included, but also as these are composed of different classes of households driven by specific motivations. We simulate various policy scenarios, combining in different ways a carbon tax, a reduction of labour taxes, subsidies for green innovation, a price subsidy to consumers for less carbon-intensive products, and green government procurement. The results show pronounced differences with those obtained by rational-agent model studies. It turns out that demand-oriented subsidies lead to lower unemployment and higher output, but perform less well in terms of carbon emissions. The supply-oriented subsidy for green innovation results in a significant reduction of carbon emissions with a slight reduction of unemployment.<\\\/p><p>M3  - Study<\\\/p><p>T3  - WWWforEurope: Welfare, Wealth and Work for Europe<\\\/p><p>BT  - Testing Innovation, Employment and Distributional Impacts of Climate Policy Packages in a Macro-evolutionary Systems Setting. WWWforEurope Working Paper No. 83<\\\/p><p>ER  - <\\\/p><\\\/div>\"}","scientific_assistance":"[]","scientific_review":"[]","version":"","release_date":null,"expiration_date":null,"surveyor":"","research_assistance":"","edv":"","additional_info_de":"","additional_info_en":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.0 (Yoast SEO v28.0) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Testing Innovation, Employment and Distributional Impacts of Climate Policy Packages in a Macro-evolutionary Systems Setting. 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