We examine the impacts of alternative cap-and-trade allowance allocation designs in a model of the U.S. economy where price-regulated electric utilities generate 30% of total CO2 emissions. Our empirical model embeds a generator-level description of electricity production—comprising all 16,891 electricity generators in the contiguous U.S.—in a multi-region multi-sector general equilibrium framework that features regulated monopolies and ...

The hierarchical Tucker format is a storage-efficient scheme to approximate and represent tensors of possibly high order. This paper presents a Matlab toolbox, along with the underlying methodology and algorithms, which provides a convenient way to work with this format. The toolbox not only allows for the efficient storage and manipulation of tensors but also offers a set of tools for the development of higher-level algorithms. Several ...