Fourteen U.S. states recently pledged to adopt limits on greenhouse gases (GHGs) per mile of light-duty automobiles. Previous analyses predicted that these limits will yield significant reductions in GHGs. However, these studies did not consider critical factors that imply different results....

Federal action addressing climate change is likely to emerge either through new legislation or via the U.S. EPA’s authority under the Clean Air Act. The prospect of federal action raises important questions regarding the interconnections between federal efforts and state-level climate policy...

This paper employs a dynamic general equilibrium model of the U.S. economy to address the federal cap-and-trap issue. The model’s unique treatment of capital dynamics permits close attention to the impacts of alternative policies on industry profits. We find that freely allocating a relatively...

We examine the impacts of increased U.S. gasoline taxes with a model that links the markets for new, used, and scrapped vehicles. Parameters for the household demand side of the model derive from an estimation procedure that integrates individual choices for car ownership and miles traveled. The...