Adaptation for Mitigation

45 Pages Posted: 11 Dec 2014

See all articles by Masako Ikefuji

Masako Ikefuji

University of Tsukuba

J.R. Magnus

Vrije Universiteit Amsterdam, School of Business and Economics

Hiroaki Sakamoto

Waseda University - School of Social Science

Multiple version iconThere are 2 versions of this paper

Date Written: December 10, 2014

Abstract

This paper develops a dynamic model consisting of two regions (North and South), in which the accumulation of human capital is negatively influenced by the global stock of pollution. By characterizing the equilibrium strategy of each region, we show that the regions’ best responses can be strategic complements through a dynamic complementarity effect. The model is used to analyze the impact of adaptation assistance from North to South. It is shown that North’s unilateral assistance to South (thus enhancing South’s adaptation capacity) can facilitate pollution mitigation in both regions, especially when the assistance is targeted at human capital protection.

Keywords: Climate Change, Mitigation, Adaptation, Human Capital

JEL Classification: D91, Q54, Q58

Suggested Citation

Ikefuji, Masako and Magnus, Jan R. and Sakamoto, Hiroaki, Adaptation for Mitigation (December 10, 2014). FEEM Working Paper No. 102.2014. Available at SSRN: https://ssrn.com/abstract=2536292 or http://dx.doi.org/10.2139/ssrn.2536292

Masako Ikefuji

University of Tsukuba ( email )

Tsukuba University , Ibaraki Ken
Tsukuba, Ibaraki 305-8573, Ibaraki 3050006
Japan

Jan R. Magnus

Vrije Universiteit Amsterdam, School of Business and Economics ( email )

De Boelelaan 1105
Amsterdam, 1081HV
Netherlands

Hiroaki Sakamoto (Contact Author)

Waseda University - School of Social Science ( email )

Japan

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