Energy markets and energy-intensive industries in all EU member states - especially in Germany - are subject to a diverse set of policies related to climate change. We analyse the potential efficiency losses from simultaneous application of emission taxes and emissions trading in qualitative and...

This paper examines potential environmental tax policy reforms. It focuses primarily on a carbon tax, but also more briefly considers a range of other possible changes. These include revising or eliminating various energy and environmental tax credits and deductions (many of which might become...

We build a two regions general equilibrium model with cross-border pollution and either international or only inter-regional capital mobility. To control pollution each region uses public pollution abatement and issues either intra-regionally or inter-regionally tradable emission permits. We...

Carbon leakage provides an efficiency argument for unilateral climate policy to differentiate emission prices in favor of emission-intensive and trade-exposed sectors. At the same time, differential emission pricing can be (mis-)used as a beggar-thy-neighbor policy to exploit terms of trade....

This paper examines the synergistic relationships between trade in environmental services and trade in environmental goods. It forms part of a series of OECD studies that analyse various issues related to Paragraph 31(iii) of the World Trade Organization’s 2001 Doha Development Agenda, which...

Energy markets and energy-intensive industries in all EU member states especially in Germany are subject to a diverse set of policies related to climate change. We analyse the potential efficiency losses from simultaneous application of emission taxes and emissions trading in qualitative and...

This paper examines the role of environmental taxes in reducing air pollution. Using unique satellite data to observe area-wide levels of nitrogen dioxide (NO2), we leverage an emission tax introduction in 2013 in the Comunidad Valenciana. We find that this environmental tax reduced NO2 levels...