MILO-project investigates environmental policy from the economics viewpoint with a focus on polluting exhaustible resource production. The related environmental problems are quite diverse varying from local air quality problems and acid mine drainage to global problems like carbon dioxide emissions that contribute to climate change. MILO has two research objectives. First, it will analyze the properties of the economically optimal environmental policy targeted at exhaustible resource production, and second, it will study the properties of the policy instruments when the policy-making is affected by lobbying. The main tools for analysing these topics are methods from dynamic optimization and game theory.
Fellow: Pauli Lappi
Supervisor: Professor Carlo Carraro