To be specific, the stock price (\(\it {{stock}}_{t} \)) and the economic surprise index (\(\it {{surprise}}_{t}\)) are positively correlated with the carbon prices. Together, they bore the adverse effects of the outbreak. Among the energy prices, the two traditional energy ...
Avoiding the pitfall of spurious quantitative accuracy, only the shape of a ‘carbon emissions price stair’ is logically deducible from qualitative information about climate change damage costs (Fig. 2). The left panel of Fig. 2 holds a graph with as driving variable (on the horizontal axis)...
Therefore allowances traded in a given year should be considered with respect to the pre-existing stock of allowances accumulated in the previous years. This would certainly provide a better assessment of the general surplus or deficit position. However, as highlighted in Abrell et al. (2022) ...