NBER Working Paper No. 22421
---- Acknowledgments ----
We thank Robin Boadway, José Peres Cajías, Erik Gilje, John Hassler, Ryan Kellogg, Dirk Niepelt, Rick van der Ploeg, Debraj Ray, Eytan Sheshinski, Kjetil Storesletten, Martin Stuermer, Gerhard Toews, Tony Venables, Fabrizio Zilibotti and seminar participants at the 2015 EAERE conference, the 2016 IAEE conference, the 2016 NBER Economics of Commodity Markets conference, Aalto University, London School of Economics, NTNU, University of California Berkeley, University of California San Diego, University of East Anglia, University of Oslo, University of Pennsylvania, VU University Amsterdam, and Yale University for helpful comments and suggestions. We also thank Henrik Poulsen, Erik Wold and Ricardo Pimentel of Rystad Energy for sharing their knowledge. Jaakkola is grateful for financial support from the European Research Council (FP7-IDEAS-ERC grant no. 269788: Political Economy of Green Paradoxes) and for the hospitality of Cees Withagen at VU University Amsterdam. Spiro is associated with and his work was partly funded by CREE – Oslo Centre for Research on Environmentally friendly Energy. Van Benthem thanks the Kleinman Center for Energy Policy at the University of Pennsylvania and the Wharton Dean's Research Fund for support. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.