Reducing greenhouse gas emissions not only lowers expected damages from climate change but also reduces the risk of catastrophic impacts. However, estimates of the social cost of carbon, which measures the marginal value of carbon dioxide abatement, often do not capture this risk reduction benefit. Risk-averse individuals are willing to pay a risk premium, an additional amount beyond the differ...

Shared/buy-in computing systems offer users with the option to select between buy-in and shared services. In such systems, idle resources are made available other for sharing. With strategic users, resource purchase allocation in can be cast as a non-cooperative game, whose corresponding Nash equilibrium does not necessarily result optimal social cost. this study, we first derive cost of game c...

this paper presents a theoretical model in which the stock growth rate of durable goods has stochastic fluctuation over time. it concludes that a social planner increases the expected percentage rate of production since uncertainty increases the user cost from consumer’s point view.