We show that imposition of a state-level environmental tax in a federation crowds out pre-existing federal taxes. We explain how this vertical fiscal externality can lead unilateral state-level environmental policy to generate a welfare gain in the implementing state, at the expense of other...

Climate change damage (or, more correctly, impact) functions relate variations in temperature (or other climate variables) to economic impacts in various dimensions, and are at the basis of quantitative modeling exercises for the assessment of climate change policies. This document provides a...

Climate change damage (or, more correctly, impact) functions relate variations in temperature (or other climate variables) to economic impacts in various dimensions, and are at the basis of quantitative modeling exercises for the assessment of climate change policies. This document provides a...

Carbon pricing policies worldwide are increasingly coupled with direct or indirect subsidies where emissions pricing revenues are rebated to the regulated entities. This paper analyzes the incentives created by two novel forms of rebating that reward additional emission intensity reductions: one...

Carbon leakage arises when emission reductions in countries applying a carbon tax are offset, partially or completely, by emission increases in countries that do not apply the tax or any other greenhouse gas (GHG) mitigation policies. Analysis using the MAGNET computable general equilibrium...

There is a long-standing debate on the relationship between economic development and environmental quality. The environmental Kuznets curve hypothesis posits an inverted U relationship between environmental pollution and economic development. In the last few years several studies have appeared...

In this article, we investigate the impact of regional trading arrangements (RTAs) on the environment. We propose an empirical model where RTAs, trade, growth and environmental quality are interrelated. As a result, an RTA in our model can impact the environment either directly or indirectly via...

This paper reviews the effect of environmental disasters on migration. Although there is an increase of environmental disasters and migration over the past years, the relationship is complex. While some authors find that environmental disasters increase migration, others show that they have only...

The rapid rise in greenhouse gas emissions have become a global concern catching the attention of policy makers and researchers all over the world. Fossil fuel combustion has been named as the major source of greenhouse gas emissions, meanwhile, studies focusing on fossil fuel impact on CO2...

This study shows that neither decoupling CO2 emissions from production, consumption and GDP, nor reducing emission intensity is good per se. Instead of analyzing decoupling cases, it proposes two orderings: one that balances economy and carbon emissions and, if there is conflict, prioritizes GDP...