Oxford Events, the new replacement for OxTalks, will launch on 16th March. The two-week OxTalks freeze period starts on Monday 2nd March. During this time, there will be no facility to publish or edit events. The existing OxTalks site will remain available to view during this period. Once Oxford Events launches, you will need a Halo login to submit events. Full details are available on the Staff Gateway.
We study the quantitative effects of a carbon tax in a dynamic, general equilibrium model with production heterogeneity and technology adoption. The vintage technology available to a firm determines its emission rate. Adopting newer technology is
subject to a non-convex adjustment cost that leads firms to have (S,s) policy functions for technology and capital adjustment. We show that firm heterogeneity in emission rates determines the aggregate effects of a carbon tax in the short- and long- run. GDP losses from a representative firm model are more than double those with heterogeneous emission rates. Short-run effects depend on the policy implementation.
