TY - JOUR
T1 - A review of agent-based modeling of climate-energy policy
AU - Castro, Juana
AU - Drews, Stefan
AU - Exadaktylos, Filippos
AU - Foramitti, Joël
AU - Klein, Franziska
AU - Konc, Théo
AU - Savin, Ivan
AU - van den Bergh, Jeroen
N1 - Funding Information:
This study has received funding through an ERC Advanced Grant from the European Research Council (ERC) under the European Union's Horizon 2020 Research and Innovation Programme (grant agreement no. 741087). I.S. acknowledges financial support from the Russian Science Foundation [RSF grant number 19-18-00262].
Funding Information:
This study has received funding through an ERC Advanced Grant from the European Research Council (ERC) under the European Union's Horizon 2020 Research and Innovation Programme (grant agreement no. 741087). I.S. acknowledges financial support from the Russian Science Foundation [RSF grant number 19‐18‐00262].
Funding Information:
European Research Council, Grant/Award Number: 741087; Russian Science Foundation, Grant/Award Number: 19‐18‐00262 Funding information
Publisher Copyright:
© 2020 Wiley Periodicals, Inc.
PY - 2020/7/1
Y1 - 2020/7/1
N2 - Agent-based models (ABMs) have recently seen much application to the field of climate mitigation policies. They offer a more realistic description of micro behavior than traditional climate policy models by allowing for agent heterogeneity, bounded rationality and nonmarket interactions over social networks. This enables the analysis of a broader spectrum of policies. Here, we review 61 ABM studies addressing climate-energy policy aimed at emissions reduction, product and technology diffusion, and energy conservation. This covers a broad set of instruments of climate policy, ranging from carbon taxation, and emissions trading through adoption subsidies to information provision tools such as smart meters and eco-labels. Our treatment pays specific attention to behavioral assumptions and the structure of social networks. We offer suggestions for future research with ABMs to answer neglected policy questions. This article is categorized under: Climate Economics > Economics of Mitigation.
AB - Agent-based models (ABMs) have recently seen much application to the field of climate mitigation policies. They offer a more realistic description of micro behavior than traditional climate policy models by allowing for agent heterogeneity, bounded rationality and nonmarket interactions over social networks. This enables the analysis of a broader spectrum of policies. Here, we review 61 ABM studies addressing climate-energy policy aimed at emissions reduction, product and technology diffusion, and energy conservation. This covers a broad set of instruments of climate policy, ranging from carbon taxation, and emissions trading through adoption subsidies to information provision tools such as smart meters and eco-labels. Our treatment pays specific attention to behavioral assumptions and the structure of social networks. We offer suggestions for future research with ABMs to answer neglected policy questions. This article is categorized under: Climate Economics > Economics of Mitigation.
KW - agent-based models
KW - bounded rationality
KW - climate policy
KW - other-regarding preferences
KW - social interactions
UR - http://www.scopus.com/inward/record.url?scp=85082760051&partnerID=8YFLogxK
U2 - https://doi.org/10.1002/wcc.647
DO - https://doi.org/10.1002/wcc.647
M3 - Review article
AN - SCOPUS:85082760051
VL - 11
JO - Wiley Interdisciplinary Reviews: Climate Change
JF - Wiley Interdisciplinary Reviews: Climate Change
SN - 1757-7780
IS - 4
M1 - e647
ER -
