We investigate in a horizontal product differentiation model with North-South trade the implications of a home bias in consumers' demand for labelled goods. We compare mutual recognition and international harmonisation of ecological labels with respect to firms' profits and welfare. Northern...

Carbon labelling is being adopted by private firms as a mechanism for mitigating climate change. Such schemes are likely to have a significant impact on low-income country exports due to the need for transportation and the small size of their exporters. However, transport emissions may be offset...