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Second, econometric methods are applied to analyse the role of policy stringency and policy design on efficiency.
We solve the firms׳ emissions control problem and obtain an explicit dependency between the key policy stringency parameter the adjustment rate and the firms׳ abatement and trading strategies.
For the specific role of the EU ETS, we find that, on the one hand ETS sectors are more likely to innovate than non-ETS sectors but on the other hand that sector's specific policy stringency is negatively associated with EI, possibly due to anticipatory behavior from early moving innovative firms and some sector idiosyncratic factors.
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The European Bank for Reconstruction and Development, for example, has an index of climate-policy stringency for 2011.
More importantly, the new study confirms earlier findings about the impact of individual measures: "an increase in stringency of environmental policies does not harm productivity growth".
A measure of transmissibility and of the stringency of control policies necessary to stop an epidemic is the basic reproductive number, which is the number of secondary cases produced by each primary case [30].
Based on a quantile regression analysis, the paper offers interesting insights for policy makers, by showing that the stringency of environmental regulations affects eco-innovations of the less innovative firms differently from those of the more innovative firms.
We are able to detect what sources of technology uncertainty are more influential, how this differs across models, and whether and how results are affected by the time horizon, the metric considered or the stringency of the climate policy.
Thus, the Paris pact has built in a series of legally binding requirements that countries ratchet up the stringency of their climate change policies in the future.
The 'Excessive Deficits' procedure of the Maastricht treaty and its elaborations in the recent 'Stability and Growth Pact' introduce a set of fiscal stringency requirements on national fiscal policies.
The simulation results show that the impact of each instrument depends on the policy design, in particular on the level of stringency and on the reward system which is implemented.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com