Showing 1 - 10 of 251
This paper analyzes the economic and poverty effects of a voluntary carbon emission reduction for a small liberalized economy - the Philippines. The simulation results indicate that tariff reductions undertaken by the Philippine government between 1994 and 2005 reduced the cost of fossil fuels...
Persistent link: https://www.econbiz.de/10010312272
A unilateral tax on CO2 emissions may drive up indirect carbon imports from non-committed countries, leading to carbon leakage. Using a gravity model of carbon trade, we analyze the effect of the Kyoto Protocol on the carbon content of bilateral trade. We construct a novel data set of CO2...
Persistent link: https://www.econbiz.de/10010299938
In a world where the prospects of a global agreement to control greenhouse gas emissions are bleak, the idea of using trade policy as an implicit regulation of foreign emission sources has gained many supporters in countries contemplating unilateral climate policies. Embodied carbon tariffs tax...
Persistent link: https://www.econbiz.de/10010435665
A country's optimal environmental border policy includes a strategic component that is inconsistent with commitments under the General Agreement on Tariffs and Trade (GATT). We extend the theory to include GATT compliance. Theory supports optimal border adjustments on carbon content that are...
Persistent link: https://www.econbiz.de/10011753299
Financing a proper response to climate change after Kyoto will require another look at both burden sharing and funding mechanisms. After describing the risks of cap-and-trade with carbon offsets and the advantages of a harmonized carbon tax, a method is proposed to utilize a globally harmonized...
Persistent link: https://www.econbiz.de/10014161082
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...
Persistent link: https://www.econbiz.de/10014081042
Using a model of monopolistic competition with two countries, where we allow for technological asymmetries, we examine the relationship between intra-industry trade and environmental regulation. The decisions on emission standards set by each country show strong strategic interactions. We show...
Persistent link: https://www.econbiz.de/10013065739
The increase in global trade has contributed to the integration of domestic economies worldwide into a single global economy. Despite the welfare benefits from global trade, concerns remain regarding the impact of trade on the environment, particularly on global environmental threats like...
Persistent link: https://www.econbiz.de/10014358635
The world’s economy has changed radically in recent years, becoming much more integrated. This integration is particularly relevant in the generation and management of global public goods, and global environmental threats like greenhouse gases (GHG). In fact, despite the contribution of trade...
Persistent link: https://www.econbiz.de/10014235596
Several empirical studies document the relevance of firm heterogeneity to assess the effect of trade and environmental policy. This paper develops a multi-country and -sector general equilibrium trade model with heterogeneous firms and analyzes the effect of domestic carbon pricing as well as...
Persistent link: https://www.econbiz.de/10014438443