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6 Dec 2023: Emissions trading, industrial competitiveness, spillovers, allowance allocation,. perverse incentives. Corresponding author: Electricity Policy Research Group (EPRG), Faculty of Economics, University of. ... in most Member States, however, economic

8 Dec 2023: the price at which said production is sold and environmental policy. ... The legal literature on environmental policy refers to this effect. as the ‘California’ effect (see, e.g., Vogel (1995); Perkins and Neumayer (2012)).

11 Dec 2023: emails: g.castagneto-gissey@ucl.ac.uk, p.dodds@ucl.ac.uk. b Energy Policy Research Group, Faculty of Economics, University of Cambridge, Sidgwick Ave., Cambridge, CB3 9DD, UK; emails: ... emails: g.castagneto-gissey@ucl.ac.uk , p.dodds@ucl.ac.uk. b

8 Dec 2023: development, industrial structure and policy approaches to energy and climate change. ... as climate change regulatory policy, it is highly likely that the unobserved heterogeneity, and hence.

11 Dec 2023: 2 Research Institute of Industrial Economics (IFN), Stockholm. 3 Research Institute of Industrial Economics (IFN), Stockholm. ... 4 Research Institute of Industrial Economics (IFN), Stockholm. Associate Researcher of the Energy Policy Research Group (EPRG

8 Dec 2023: Keywords: Electricity markets, wholesale market design, renewable energy, interconnection, electricity storage, long-term contracts, capacity markets JEL Classification: H23 (environmental externalities), L94 (electricity industry), Q28 (renewables

8 Dec 2023: for foreign external effects and assess the overall welfare consequences of decentralized policy. ... of decentralized policy making for equilibrium capacity reserves and network investment are an-.

5 Dec 2023: Massachusetts Institute of Technology Center for Energy and. Environmental Policy Research. ... MIT. Research support from the MIT Center for Energy and Environmental Policy Research and theCambridge-MIT Institute is gratefully acknowledged.