FEEM working papers "Note di lavoro"
Date: 15/9/2017

Climate Policy Commitment Devices


Sebastian Dengler (Tilburg University); Reyer Gerlagh (Tilburg University, CREE - Oslo Centre for Research on Environmentally friendly Energy); Stefan T. Trautmann (Tilburg University and University of Heidelberg); Gijs van de Kuilen (Tilburg University)

JEL n.: C91, D62, D99, Q38,Q54
Keywords: Climate Policy Instruments, Intertemporal Cooperation, Climate Game, Experiments


We develop a dynamic resource extraction game that mimics the global multi-generation planning problem for climate change and fossil fuel extraction. We implement the game under different conditions in the laboratory. Compared to a ‘libertarian’ baseline condition, we find that policy interventions that provide a costly commitment device or reduce climate threshold uncertainty reduce resource extraction. We also study two conditions to assess the underlying social preferences and the viability of ecological dictatorship. Our results suggest that climate-change policies that focus on investments that lock the economy into carbon-free energy sources provide an important commitment device in the intertemporal cooperation problem.


Suggested citation: Dengler, S., R. Gerlagh, S. T. Trautmann, G. van de Kuilen, (2017), 'Climate Policy Commitment Devices', Nota di Lavoro 49.2017, Milano, Italy: Fondazione Eni Enrico Mattei

Download file
Download file

FEEM Newsletter & Update

Subscribe to stay connected.

Your data will be processed by FEEM - Eni Enrico Mattei Foundation - Data Controller - to receive the Foundation's Newsletter & Update via e-mail. To send the requested information, the Data Controller uses e-mail sending service providers established in the U.S.A .: for this, your consent to the transfer of your email address to the U.S.A. is required, without which it will not be possible to comply with your request. We invite you to consult the complete information to obtain detailed information to protect your rights.