A discrete choice model of transitions to sustainable technologies.

P. Zeppini

Research output: Working paperAcademic

Abstract

We propose a discrete choice model of sustainable transitions from dirty to clean technologies. Agents can adopt one technology or the other, under the influence of social interactions and network externalities. Sustainable transitions are addressed as a multiple equilibria problem. A pollution tax can trigger a sudden transition as a bifurcation event, at the expenses of large policy efforts. Alternatively, periodic dynamics can arise. Technological progress introduced in the form of endogenous learning curves stands as a fundamental factor of sustainable transitions. For this to work, the positive feedback of network externalities and social interaction should be reduced initially, for instance by promoting niche markets of clean technologies and making technological standards and infrastructure more open. Traditional policy channels such as pollution tax and feed-in-tariffs have an auxiliary - yet important - role in our model. Compared to feed-in-tariffs, a pollution tax promotes smoother and faster transitions.
LanguageEnglish
Place of PublicationAmsteredam
PublisherCeNDEF
Number of pages29
StatePublished - 2013

Publication series

NameCeNDEF Working Papers
Volume13-11

Fingerprint

Discrete choice models
Pollution tax
Social interaction
Tariffs
Network externalities
Clean technology
Technological progress
Positive feedback
Equilibrium problem
Social networks
Expenses
Bifurcation
Multiple equilibria
Learning curve
Factors
Niche markets
Trigger

Cite this

Zeppini, P. (2013). A discrete choice model of transitions to sustainable technologies. (CeNDEF Working Papers; Vol. 13-11). Amsteredam: CeNDEF.
Zeppini, P./ A discrete choice model of transitions to sustainable technologies.Amsteredam : CeNDEF, 2013. (CeNDEF Working Papers).
@techreport{c227b400eaa7471ca2ba7fffe882f4bd,
title = "A discrete choice model of transitions to sustainable technologies.",
abstract = "We propose a discrete choice model of sustainable transitions from dirty to clean technologies. Agents can adopt one technology or the other, under the influence of social interactions and network externalities. Sustainable transitions are addressed as a multiple equilibria problem. A pollution tax can trigger a sudden transition as a bifurcation event, at the expenses of large policy efforts. Alternatively, periodic dynamics can arise. Technological progress introduced in the form of endogenous learning curves stands as a fundamental factor of sustainable transitions. For this to work, the positive feedback of network externalities and social interaction should be reduced initially, for instance by promoting niche markets of clean technologies and making technological standards and infrastructure more open. Traditional policy channels such as pollution tax and feed-in-tariffs have an auxiliary - yet important - role in our model. Compared to feed-in-tariffs, a pollution tax promotes smoother and faster transitions.",
author = "P. Zeppini",
year = "2013",
language = "English",
series = "CeNDEF Working Papers",
publisher = "CeNDEF",
type = "WorkingPaper",
institution = "CeNDEF",

}

Zeppini, P 2013 'A discrete choice model of transitions to sustainable technologies.' CeNDEF Working Papers, vol. 13-11, CeNDEF, Amsteredam.

A discrete choice model of transitions to sustainable technologies. / Zeppini, P.

Amsteredam : CeNDEF, 2013. (CeNDEF Working Papers; Vol. 13-11).

Research output: Working paperAcademic

TY - UNPB

T1 - A discrete choice model of transitions to sustainable technologies.

AU - Zeppini,P.

PY - 2013

Y1 - 2013

N2 - We propose a discrete choice model of sustainable transitions from dirty to clean technologies. Agents can adopt one technology or the other, under the influence of social interactions and network externalities. Sustainable transitions are addressed as a multiple equilibria problem. A pollution tax can trigger a sudden transition as a bifurcation event, at the expenses of large policy efforts. Alternatively, periodic dynamics can arise. Technological progress introduced in the form of endogenous learning curves stands as a fundamental factor of sustainable transitions. For this to work, the positive feedback of network externalities and social interaction should be reduced initially, for instance by promoting niche markets of clean technologies and making technological standards and infrastructure more open. Traditional policy channels such as pollution tax and feed-in-tariffs have an auxiliary - yet important - role in our model. Compared to feed-in-tariffs, a pollution tax promotes smoother and faster transitions.

AB - We propose a discrete choice model of sustainable transitions from dirty to clean technologies. Agents can adopt one technology or the other, under the influence of social interactions and network externalities. Sustainable transitions are addressed as a multiple equilibria problem. A pollution tax can trigger a sudden transition as a bifurcation event, at the expenses of large policy efforts. Alternatively, periodic dynamics can arise. Technological progress introduced in the form of endogenous learning curves stands as a fundamental factor of sustainable transitions. For this to work, the positive feedback of network externalities and social interaction should be reduced initially, for instance by promoting niche markets of clean technologies and making technological standards and infrastructure more open. Traditional policy channels such as pollution tax and feed-in-tariffs have an auxiliary - yet important - role in our model. Compared to feed-in-tariffs, a pollution tax promotes smoother and faster transitions.

M3 - Working paper

T3 - CeNDEF Working Papers

BT - A discrete choice model of transitions to sustainable technologies.

PB - CeNDEF

CY - Amsteredam

ER -

Zeppini P. A discrete choice model of transitions to sustainable technologies. Amsteredam: CeNDEF. 2013, (CeNDEF Working Papers).