political debate about unilateral climate policies. Tariffs on the carbon embodied in imported goods from countries without … introduction of carbon tariffs can do more harm than good to domestic EITE industries. Two determinants drive the sign and … imported in intermediate inputs, industries might suffer from carbon tariffs. Secondly, the share of domestic output that is …

Carbon tariffs are one prominently discussed climate policy. The proponents stress the carbon tariffs' ability to … restore competitiveness, avoid carbon leakage, and reduce world carbon emissions. We analyze the effects of carbon tariffs on … trade, welfare, and carbon emissions in a structural gravity model. We find that the introduction of carbon tariffs reduces …