Tit-for-Tat Dynamics in Greenhouse Gas Mitigation
In this text we develop a model of countries deciding on mitigation levels of CO2 in a tit-for-tat manner. Taking key ideas from earlier papers, we construct a payoff framework which describes free-riding incentives and which assesses the utility of countries' discounted future output - an output which is reduced by both abatement costs and climate damage. We then, by means of a differential e
