Preprint
Jul 2026
Do Carbon Price Forecasts Improve Compliance Procurement? Evidence from European Union Allowances
Firms covered by emissions trading systems need forecasts not only to value allowances, but also to decide when to buy them. This paper asks whether European Union Allowance (EUA) prices contain short-horizon predictability that survives a forecast-origin information design and improves simulated compliance procurement...
Muzi Chen, Di-Fang Huang, Shouyang Wang et al.
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