Jean Pierre Ponssard

Jean Pierre Ponssard
École Polytechnique · Département d'Economie

About

170
Publications
20,082
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Introduction
I am a CNRS Emeritus Research Scientist, affiliated to the Department of Economics and CREST research center at Ecole Polytechnique, France, and associate Research Fellow at Louis Bachelier Institute, CIRANO and CESifo. My fields of specialization concern: economics of environment, industrial organization and game theory. Since 2015 I lead the chair Energy and Prosperity. I received my PhD in engineering economic systems from Stanford University in 1972, and had earlier graduated from Ecole Polytechnique. Links Personal web site http://ponssard.net/ Chair Energy and Prosperity web site http://www.chair-energy-prosperity.org/en/
Additional affiliations
January 2011 - present
CIRANO
Position
  • Research Associate

Publications

Publications (170)
Article
Hydrogen is a possible alternative to the internal combustion engine, alongside battery-powered vehicles, in the context of reducing greenhouse gas emissions associated with transport activities. The costs associated with hydrogen vehicles are currently high, even when considering the greenhouse gas emissions and other pollutants avoided by their u...
Conference Paper
Full-text available
There has never been more finance available for innovative green mobility in the transport sector than there is today. But where is all the finance going? How is the funding of the energy transition being made available to the different actors in the transportation sector? How are the actors utilizing the funds? On Dec 9-10, 2021, the annual Inte...
Preprint
Full-text available
The paper examines the relevant cost benefit framework for state agencies investigating the potential of local projects to mitigate climate change. While these projects are typically limited in time and space, continuation paths need to be introduced to capture the benefits provided by the project. We propose a new metric that incorporates into the...
Article
L’hydrogène apparaît aujourd’hui comme une technologie incontournable pour relever le défi de la transition énergétique dans les transports. S’il existe déjà de nombreux projets régionaux dans lesquels cette technologie est déployée, les analyses économiques sur le sujet restent limitées. Cette note illustre comment deux concepts clés de la théorie...
Presentation
Full-text available
Le secteur de l’hydrogène offre un exemple de situation dans lequel se superposent des initiatives locales et nationales, au sein desquelles interagissent des institutions à différents niveaux (métropoles, régions, états) et des firmes locales et multinationales. S les grandes villes constituent un lieu privilégié pour l’élaboration de politiques l...
Conference Paper
Full-text available
L’hydrogène apparaît aujourd’hui comme une technologie incontournable pour relever le défi de la transition énergétique dans les transports. S’il existe déjà de nombreux projets régionaux dans lesquels cette technologie est déployée, les analyses économiques sur le sujet restent limitées. Cette note illustre comment deux concepts clés de la théorie...
Preprint
Full-text available
La filière hydrogène est une alternative possible au moteur thermique, aux côtés des véhicules à batterie, dans la perspective de réduire les émissions de gaz à effets de serre associées aux activités de transport. Les coûts associés aux véhicules à hydrogène sont actuellement élevés, même au regard des émissions de gaz à effet de serre et de pollu...
Preprint
Full-text available
Cette note identifie les deux handicaps majeurs que doit surmonter la filière hydrogène dans les transports : l'effet de réseau entre l'infrastructure et l'usage du véhicule susceptible de créer des problèmes de coordination entre acteurs industriels ; l'importance des effets d'expérience au sein et entre producteurs pour la baisse des coûts. Pour...
Technical Report
Full-text available
Si les véhicules électriques à batterie proposent déjà des technologies séduisantes, il reste de la place pour d’autres alternatives. De fait, les véhicules 100 % hybrides (Full Hybrid) offrent une baisse conséquente des émissions à un prix raisonnable pour les consommateurs et – atout important – ils évitent l’angoisse de la panne. Cette étude mon...
Article
Full-text available
We analyze the impact of indirect network effects in the deployment of zero emission vehicles in a static partial equilibrium model. In most theoretical analyses, direct and indirect effects are conflated, and relatively few authors have explicitly considered indirect network effects. We also introduce the market power of vehicle producers and scal...
Presentation
Full-text available
Take away The 2018 TCO of a FCEB is much higher than the TCO of a diesel bus The abatement cost is higher than 1000 €/tCO2 Taking into account local pollutants it drops to 300 €/tCO2 Decreasing cost (i.e. from a unit price of 700 k€ to 450 k€) is a prerequisite for making economic sense to launch FCEB now EU programs have changed scale in 2017 wi...
Conference Paper
Full-text available
This paper investigates the potential benefit of coordinating local initiatives in Europe in the transport sector and provides an evaluation of the JIVE programs with respect to FCEB. Our main argument is that the deployment of green technologies in transport faces a double challenge: a need to decrease its cost and a chicken and egg issue due to t...
Presentation
Full-text available
Overview of how new technologies can address environmental and health issues in transportation with focus on hydrogen
Preprint
Full-text available
We analyze the impact of indirect network effects in the deployment of zero emission vehicles in a static partial equilibrium model. In most theoretical analysis direct and indirect effects are conflated, and relatively few authors have explicitly considered indirect network effects. We also introduce the market power of vehicle producers and scale...
Article
Full-text available
The transition of a sector from a pollutant state to a clean one is studied. A green technology, subject to learning-by-doing, progressively replaces an old one. The notion of abatement cost in this dynamic context is fully characterized. The theoretical, dynamic optimization, perspective is linked to simple implementation rules. The practical " de...
Article
Full-text available
The correct affiliation for Anna Creti is: Université Paris-Dauphine, PSL Research University, LEDa, CGEMP, 75016 Paris, France.
Technical Report
Full-text available
Si les véhicules électriques à batterie proposent déjà des technologies séduisantes, il reste de la place pour d’autres alternatives. De fait, les véhicules 100 % hybrides (Full Hybrid) offrent une baisse conséquente des émissions à un prix raisonnable pour les consommateurs et – atout important – ils évitent l’angoisse de la panne. Cette étude mon...
Preprint
Full-text available
Emissions from land transport are a major source of greenhouse gas emissions (approximately 24 % for the EU28). Urban pollution, in particular particulate matter (PM2.5) and ground level ozone, is causing 3 millions of premature deaths yearly. Battery and fuel cell electric vehicles (BEV and FCEV respectively) are thought to be attractive technolog...
Article
We study pollution permit markets in which a fraction of permits are allocated to firms based on their output. Output-based allocations, which are receiving increasing attention in the design of carbon markets around the world (e.g., Europe, California, New Zealand), are shown to be optimal under demand and supply volatility despite the output dist...
Article
Full-text available
Output-based allocations (OBAs) are typically used in emission trading systems (ETS) with a fixed cap to mitigate leakage in sectors at risk. Recent work has shown they may also be welfare enhancing in markets subject to supply and demand shocks by introducing some flexibility in the total cap, resulting in a carbon price closer to marginal damage....
Article
The paper provides a cost benefit analysis of one of the most prominent Fuel Cell Electric Vehicle deployment project in France, taking place in Normandy. The project builds on the substitution of a diesel Kangoo by an electric Kangoo ZE with a fuel cell range extender for public fleets. The sustainability of the scenario as it is envisioned today...
Chapter
Full-text available
The ability of companies to turn an environmental constraint into a source of strategic opportunities is a controversial topic in published research. The article, which is based on a comparative study of the CO2 emission reduction strategies implemented by the cement and chemical industries, shows that companies' freedom to adopt a proactive approa...
Conference Paper
Full-text available
The paper provides a cost benefit analysis of one of the most prominent deployment project in France of fuel cell electric vehicles, taking place in Normandy. The project builds on the substitution of a diesel Renault Kangoo by an electric Renault Kangoo ZE with a fuel cell range extender for public fleets. The analysis points out potential weaknes...
Article
Sustainable food concerns have pushed public authorities to act by means of regulations, standards and other devices, and businesses to innovate in their products and production processes. We argue that the Porter hypothesis—which asserts that properly designed and implemented environmental regulation might be good for society as well as the target...
Chapter
Full-text available
The ability of companies to turn an environmental constraint into a source of strategic opportunities is a controversial topic in published research. The article, which is based on a comparative study of the CO2 emission reduction strategies implemented by the cement and chemical industries, shows that companies' freedom to adopt a proactive approa...
Article
Full-text available
In the last decade a growing articulation of the business strategy of the firms with somespecific global societal challenge in line with its core activities has been observed. Thischange provides both a need and an opportunity for Base of the Pyramid (BoP) activities tomigrate from their preserved status within the Corporate Social responsibility (...
Article
Full-text available
In Europe the transport sector contributes about 25% of total GHG emissions, 75% of which come from road transport. Contrarily to industrial emissions road emissions have increased over the period 1990-2015 in OECD countries: California (+26%), Germany (0%), France (+12%), Japan (+2%), Denmark (+30%). The number of registered vehicles on road in th...
Research
Full-text available
In industries with large sunk costs, the investment strategy of competing firms depends on the regulatory context. We consider ex-ante industrial policies in which the sunk cost may be either taxed or subsidized, and antitrust policies which could be either pro-competitive (leading to divestiture in case of high ex-post profitability) or lenient (a...
Data
Full-text available
This paper investigates incentives for firms to increase output above the activity level thresholds (ALTs) in order to obtain more free allowances in the EU Emissions Trading Scheme. While ALTs were introduced in order to reduce excess free allocation to low-activity installations, for installations operating below the threshold, the financial gain...
Technical Report
Full-text available
This study develops a consistent framework to compare FCEV with gasoline ICE (ignition combustion engine) and applies this framework to the German market over the period 2015-2050. As such it provides for: - The formulation of a proper cost benefit analysis, including the definition of the abatement cost for the hydrogen technology; - The simulat...
Article
Full-text available
Deterring the formation or continuation of cartels is a major objective of antitrust policy. We develop a dynamic framework to characterize the compensation and deterrence properties of fines, based on the fact that cartel stability depends on the ability to prevent deviation, which itself depends in part on fines imposed in case of detection and c...
Article
Full-text available
It is well known that discontinuous jumps or thresholds in tax or subsidies are socially inefficient, because they create incentives to make strategic behavioural changes that lead to substantial increases in private benefits. This paper investigates these distortions in the context of the EU Emissions Trading Scheme, where activity level threshold...
Article
Demand uncertainty is thought to in uence irreversible capacity decisions. Suppose local demand can be sourced from domestic (rigid) production or from (fl exible) imports. This paper shows that the optimal domestic capacity is either increasing or decreasing with demand uncertainty depending on the relative level of the costs of domestic productio...
Article
Full-text available
This paper investigates the optimal mix between home capacity and imports to face an uncertain demand. It is proved that, if the difference between the home variable cost and the import price is large, the optimal home capacity increases as uncertainty increases, while it decreases if it is small. The model is calibrated using data from the cement...
Article
Le marché de l'Investissement Socialement Responsable (ISR) connaît une croissance soutenue depuis quelques années, mais reste encore très marginal auprès des investisseurs particuliers malgré la création de labels signalant les démarches prenant en compte des critères extra‐financiers. L'objectif de cet article est de comprendre cette difficulté e...
Article
Full-text available
La responsabilité sociale et environnementale de l'agriculture et des entreprises agro-alimentaires est aujourd'hui largement remise en question. Ce secteur économique est à la croisée des chemins compte tenu des nombreuses externalités environnementales de l'activité du secteur, des problèmes de sécurité sanitaire liés à la mondialisation et aux d...
Article
Full-text available
We present a methodology to assess the profitability of a capital intensive industry over a business cycle and to make projections of profitability for different investment strategies under various hypothetical scenarios for environmental and competition policies. The methodology is applied to the European cement industry over the period 2004‐2012...
Article
Full-text available
L’investissement socialement responsable (ISR) en France reste peu développé pour les investisseurs particuliers, en dépit d’une croissance forte des fonds ISR et du lancement de labels à leur intention. L’objectif de cet article est de mieux comprendre le rôle limité des labels. L’analyse s’appuie sur l’interaction entre trois éléments : label et...
Article
We study a principal-agent model in which the agent can provide ex post additional relevant information regarding his performance. In particular, he can provide a legitimate excuse, that is, evidence that a poor result is only due to factors outside his control. However, building a convincing case requires time, time that is not spent on exerting p...
Article
Full-text available
Two main approaches have been implemented in regional CO2 markets to address competitiveness and carbon leakage: output based allocation (Australia, California, New Zealand) and capacity based allocation (EU). This paper characterizes the best policy, given that auctioning with border adjustment is excluded. A simple model is used in which the regi...
Article
Full-text available
This paper explores the idea that a properly designed sectoral approach could be the answer to two sets of constraints that hinder international agreements on climate change, namely a genuine concern from developing countries for economic growth and competitiveness issues from industrialized countries. Our sectoral approach builds on three premises...
Article
Countries which currently are, or are in the process of, implementing a national or regional cap and trade CO2 scheme are following alternatives routes in a number of ways: coverage, cap/target, allocation of allowances, measures to manage price volatility, offsets, measures to address competitiveness and leakage. This last issue more specifically...
Article
Full-text available
The determination of optimal fines to deter the formation or continuation of cartels is a major objective of competition policy. Several recent publications have suggested that the recent fines imposed by the European Commission are too low to be dissuasive and should therefore be substantially increased. In this paper, we question the economic rea...
Article
Full-text available
This paper investigates whether or not the EVA bonus scheme bypasses the traditional congruence-controllability dilemma ordinarily encountered in compensation schemes. This analysis is done using the framework of incentives theory. EVA systems have two distinguishable features in this respect: the use of an external standard related to the financi...
Article
The determination of optimal fines to deter the formation or continuation of cartels is a major objective of competition policy. We provide an analysis of static and dynamic frameworks to characterize the restitution and deterrence properties of fines: cartel stability depends on their ability to prevent deviation by firms, while the benefit of a d...
Article
Full-text available
Based on a comparative study of CO2 strategies in the cement and chemical industries, the article shows that the capacity of firms to be proactive regarding sustainable development is largely constrained by the characteristics of the sector in terms of dependence on natural resources, flexibility in the composition of activities portfolio and struc...
Article
Full-text available
The prospects for an international agreement within the United Nations Framework on Climate Change (UNFCCC) resulting in a common carbon price ‐ such as a global cap and trade scheme ‐ can for now only be seen as a long term goal. In the meantime, we have to work in a world of unilateral climate policies, eventually loosely coordinated among a limi...
Article
The determination of optimal fines to deter the formation or continuation of cartels is a major objective of competition policy. We provide a game theoretic discussion of the restitution and deterrence properties of fines static and dynamic frameworks: cartel stability depends on their ability to prevent deviation by firms and the benefit of a devi...
Article
Full-text available
Uncertainty about the level of demand is thought to influence irreversible capacity decisions. This paper examines some implications of the theory literature on this topic in an empirical study of the US cement industry between 1994 and 2006. Firms in this sector have the ability to deliver cement either from domestic plants or from imports. Since...
Article
Full-text available
investors and companies are increasingly aware that climate change and its associated needs for reducing CO2 emissions are likely to impact structurally many areas of the economy. This paper offers a contribution to understand these impacts on companies' strategy, by studying management systems. A typology is introduced based upon a two stage model...
Article
Full-text available
In a two-region model of bilateral trade with global pollution, we study how the unilateral implementation of emissions taxes affects the region. To offset the decrease in its industry?s competitiveness, the regulator of the region may implement borders adjustments such as export subsidies or import taxes. We study the interaction between environme...
Article
Full-text available
La cr�ation de valeur a �t� consid�r�e comme l'innovation manag�riale majeure des ann�es 2000 : couplage des r�mun�rations des dirigeants sur la valeur boursi�re, introduction de nouveaux indicateurs de performance ax�s sur la performance actionnariale, influence croissante des actionnaires sur la strat�gie des firmes... Dix ans apr�s, cette d�marc...
Article
Full-text available
Cet article pr�cise la nature des liens entre RSE et performance financi�re en d�gageant trois axes majeurs pour une r�flexion future: (1) l'inscription durable de la RSE dans le syst�me de valeurs des entreprises, (2) les conditions d'une validation empirique d'un lien entre la strat�gie RSE et la performance financi�re, lorsque cette strat�gie s'...
Article
Full-text available
An oligopoly competition model is described and used to illustrate the potential effect of EU emissions trading and transport issues on the production decisions and profitability of cement producers in a typical western European country market. The role of geography is introduced from three viewpoints: the existence of regional markets, the fact th...
Article
This article examines how corporate social and environmental responsibilities (CSR) are evaluated and instrumented by various stakeholders: enterprises, specialized agencies, NGOs, and investors. This analysis questions whether a CSR industry has emerged over the past decade, analogous to the value creation industry that developed during the 1990's...
Article
Full-text available
Cet article propose une lecture de la RSE en termes d'enjeux et d'instrumentation de ces enjeux par les différents acteurs concernés : entreprises, agences spécialisées, ONG, investisseurs. Cette analyse permet de s'interroger sur l'émergence d'une industrie de la RSE au même titre que s'est développée dans les années 1990-2000 une industrie de la...
Article
Full-text available
Une grille fondée sur trois dimensions (spécificité de l'outil, implication des managers, lien entre mesure et rémunération) permet de caractériser deux idéaux-types de systèmes de pilotage (diagnostiques et interactifs). Les tentatives récentes de rénovation du contrôle de gestion sont cohérentes avec ces idéaux types : les systèmes de pilotage pa...
Article
Full-text available
Entry barriers encourage competition “for” the market as opposed to “in” the market. Efficient entrants use penetrating strategies while inefficient incumbents harvest the market before leaving. These phenomenon are explored in an infinite horizon game in which history matters. Under some circumstances, higher entry barriers induce entry of efficie...
Article
Full-text available
Should a manager be held accountable for uncontrollable environment factors like foreign exchange rate or oil price? To address this question, we develop a multi-task agency model where the agent has a limited liability. The profit of the firm is impacted by a stochastic environmental factor which changes the relative productivity of tasks, and who...