Unilateral environmental regulation such as carbon taxation continues to raise concerns over leakage and adverse competitiveness effects. The implications of a carbon tax is especially important in Canada, a country currently implementing a nation-wide carbon price. Still, little is known about...

This study evaluates the implications of an actual carbon tax on international trade in the agricultural sector. Applying uniformly to all fossil fuels combusted within its borders, the province of British Columbia unilaterally introduced a carbon tax on July 1, 2008. In 2012, the province...

We demonstrate that the carbon tax imposed by the Canadian province of British Columbia caused a decline in short-run gasoline demand that is significantly greater than would be expected from an equivalent increase in the market price of gasoline. That the carbon tax is more salient, or yields a...

Environmental regulation can interact with agricultural markets to produce underappreciated competitiveness and leakage effects. This paper measures effective carbon tax stringency by structurally recovering the domestic supply schedule for a trade-exposed beef cattle industry such that...