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A Deep Learning Analysis of Climate Change, Innovation, and Uncertainty
We study the implications of model uncertainty in a climate-economics framework with three types of capital: "dirty" capital that produces carbon emissions when used for production, "clean" capital that generates no emissions but is initially less productive than dirty capital, and knowledge capital that increases with R\&D investment and leads to technological innovation in green sector productivity.
Making Decisions under Model Misspecification
We use decision theory to confront uncertainty that is sufficiently broad to incorporate "models as approximations."
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