Found 3 article(s) for author 'Subsidies'

Capital versus Output Subsidies: Implications of Alternative Incentives for Wind Energy

Capital versus Output Subsidies: Implications of Alternative Incentives for Wind Energy. Joseph Aldy, September 2016, Paper “We examine the choice between using capital and using output subsidies to promote wind energy in the United States. We exploit a natural experiment in which wind farm developers were unexpectedly given the opportunity to choose between an upfront investment subsidy and an output subsidy in order to estimate the differential impact of these subsidies on project productivity. Using matching and instrumental variables, we find that wind farms choosing the capital subsidy produce 5 to 12 percent less electricity per unit of capacity than wind farms selecting the output subsidy and that this effect is driven by incentives generated by these subsidies rather than selection. We then use these estimates to evaluate the public economics of U.S. wind energy subsidies. Link

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Policy Surveillance in the G-20 Fossil Fuel Subsidies Agreement: Lessons for Climate Policy

Policy Surveillance in the G-20 Fossil Fuel Subsidies Agreement: Lessons for Climate Policy. Joseph Aldy, June 8, 2015, Paper. “Inadequate policy surveillance has undermined the effectiveness of multilateral climate agreements. To illustrate an alternative approach to transparency, I evaluate policy surveillance under the 2009 G-20 fossil fuel subsidies agreement. The Leaders of the Group of 20 nations tasked their energy and finance ministers to identify and phase-out fossil fuel subsidies. The G-20 leaders agreed to submit their subsidy reform strategies to peer review and to independent expert review conducted by international…Link

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What Do State-Owned Development Banks Do? Evidence from BNDES, 2002-09

What Do State-Owned Development Banks Do? Evidence from BNDES, 2002-09. Aldo Musacchio, February 2015, Paper. “Defendants of state-owned development banks emphasize their role in reducing capital constraints and fostering productive investment; detractors point out that they may benefit politically connected capitalists or bail out inefficient firms. We study the effect of loans and equity investments of the Brazilian National Development Bank (BNDES) and find that they do not have any consistent effect on firm-level performance and investment, except for a reduction in...” May require purchase or user account. Link

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