This paper analyzes governments’ strategic regulations in an imperfectly competitive market of international emissions trading (IET). Whether and how governments intervene in IET is explored. If regulations are decided, it is optimal for price-influencing countries to subsidize but for...

International shipping is a vital channel linking the world economy, particularly from the perspective of international commodity trade. The recently proposed carbon regulation in international shipping will not only affect the competitiveness of shipping lines, but will also have implications...