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Technology Adoption Optimization with Heterogeneous Agents and Carbon Emission Trading Mechanism

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Integrated Uncertainty in Knowledge Modelling and Decision Making (IUKM 2018)

Part of the book series: Lecture Notes in Computer Science ((LNAI,volume 10758))

Abstract

The adoption of new technologies with high efficiency and low emission is of great importance in achieving sustainable development. Most studies of technology adoption have been criticized of idealistically assuming only one global decision agent. In this paper, a model of optimizing technology adoption with heterogeneous agents is proposed. Each agent attempts to identify the optimal solution for a portion of the entire system. The heterogeneity in agents is the different demands they face. In order to internalize the external effects of emission, a quantity-based market incentive policy instruments - Carbon Emission Trading is implemented. With two heterogeneous agents, a bargaining process is introduced to reasonably allocate the profit to them. Computational tests are conducted with different market shares and different discounting factors. Numerical results show the impact of heterogeneity and carbon emission trading mechanism on the optimal technology adoptions. It is suggested that a smaller gap of agents’ market shares leads to earlier and more adoptions. Besides, adoptions remain no change when both agents have a same discounting factor. A big discounting factor of the seller will accelerate the adoptions in the buyer agent and the entire system if agents have different discounting factors.

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Acknowledgments

This work was supported by the Ministry of Education, China under Grant 222201718006; National Natural Science Foundation of China under Grant 71571069.

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Authors and Affiliations

  1. East China University of Science and Technology, Meilong Road 130, Shanghai, 200237, China

    Chenhao Fang & Tieju Ma

  2. International Institute for Applied System Analysis, Schlossplatz 1, 2361, Laxenburg, Austria

    Tieju Ma

Authors
  1. Chenhao Fang
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  2. Tieju Ma
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Corresponding author

Correspondence to Tieju Ma .

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Editors and Affiliations

  1. Japan Advanced Institute of Science and Technology, Nomi, Japan

    Van-Nam Huynh

  2. Osaka University, Osaka, Japan

    Masahiro Inuiguchi

  3. Hanoi National University of Education, Hanoi, Vietnam

    Dang Hung Tran

  4. Université de Technologie de Compiègne, Compiègne, France

    Thierry Denoeux

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Fang, C., Ma, T. (2018). Technology Adoption Optimization with Heterogeneous Agents and Carbon Emission Trading Mechanism. In: Huynh, VN., Inuiguchi, M., Tran, D., Denoeux, T. (eds) Integrated Uncertainty in Knowledge Modelling and Decision Making. IUKM 2018. Lecture Notes in Computer Science(), vol 10758. Springer, Cham. https://doi.org/10.1007/978-3-319-75429-1_20

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  • DOI: https://doi.org/10.1007/978-3-319-75429-1_20

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  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-319-75428-4

  • Online ISBN: 978-3-319-75429-1

  • eBook Packages: Computer ScienceComputer Science (R0)

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