The cumulative effect of individual purchasing decisions are responsible for anthropogenic climate change. These private investment and consumption decisions are at the heart of climate mitigation efforts changes. This paper shows that the new market-based, incentive-compatible mechanisms may contribute to a win-win (green and profitable) behavior of private investors. Despite its accessibility and financial viability, people often lose sight of more efficient technologies in favor of less efficient, but familiar. The article is a framework that shows how local politicians can act as a catalyst in providing profitable opportunities for private investors to get over this so-called "efficiency gap." "Hide
on March Amram, Nalin Kulatilaka Source: California Review Control 26 pages. Publication Date: February 1, 2009. Prod. #: CMR424-PDF-ENG