Dr. Pascal Letourneau graduated from HEC Montreal with a Ph.D. degree in finance. Dr. Letourneau has several years of working experience as a computer programmer, and served on the board of director of a branch of Desjardins, an important Canadian financial institution. He is now an assistant professor at the University of Wisconsin – Whitewater, teaching investments and derivatives. His research is mainly related to derivatives pricing, real option theory, and applications.
This paper looks at the conditions under which a reasonable green policy by a US state encourages the early replacement of existing coal plants with new natural gas plants.