A two-tier climate club exploits the comparative advantage of large countries to mete out punishments through trade, while taking their capacity to resist punishment as a constraint. Countries outside the coalition price carbon at a fixed fraction of the average carbon price adopted within the...

This study analyses the economic and political consequences of introducing a tax on the carbon content of imported goods at EU borders and whether such a tax would be compatible with WTO rules. The major findings are: 1. A CO2 border tax or import tariff would increase global welfare; 2. Such a...

The Republic of Korea fully launched its green finance scheme in 2009 and then introduced the environmental information disclosure system and the emission trading scheme in 2013 and 2015, respectively. However, their use has not increased dramatically, as the public sector has taken the major...

The article provides an overview of the most important current EU initiatives contributing to sustainable finance. After an introduction on how the concept of sustainability entered the domain of European policy, the definition of sustainable finance from the EU perspective is discussed, as well...

‘Cap and trade' is the nucleus of the so-called flexible mechanisms of climate protection: the maximum use of a resource (here, a particular quantity of greenhouse gas emissions) is determined; from this, individual emission allowances are derived and allocated. Emission allowances can be...

This paper examines the political economy aspects, particularly the influence of the Clean Development Mechanism, in clean energy and climate change policies in the states of Bahia and Rio Grande do Sul in Brazil. The different mechanisms for responding to climate change are financing...