Title: Generalized Certainty Equivalents, Risk-Sensitivity and Climate Economics by Arnab Basu
Date & Time: 6/ 10/ 2023 Friday at 13:30-15:00
Place: EA-409
Abstract: In this talk, we discuss the speaker’s novel contributions to the analysis of generalized certainty equivalents from a risk-sensitive perspective with applications to control of climate damages. In general, we propose (and prove) an unified framework for such structures encompassing various notions of risk-sensitivity and, in particular, apply the results obtained to some problems of estimation of social cost of carbon and mitigation of climate damages. In the process, we formulate a totally new method of measuring robustness which is fundamentally different from the existing economic methodologies including from the celebrated Hansen-Sargent framework. We also discuss some open problems in these areas.
Bio: Arnab Basu works at the intersection of mathematics, computer/data science and economics. His primary research interest is in the control of random dynamical systems driven by multiple agents and in the analysis of their stability and convergence particularly from a stochastic learning perspective. He has made fundamentally new contributions to the theory of risk-sensitive control, games and learning which have been regularly published in journals like SIAM Journal on Control and Optimization, Mathematics of Operations Research and Management Science among others. Arnab holds a PhD in Computer and System Sciences from the Tata Institute of Fundamental Research (TIFR) India (National Centre of the Government of India for Mathematics and Nuclear Science) and is now working at the Department of Industrial Engineering in Bilkent University.