We study the effects of unexpected changes in trade policy uncertainty (TPU) on the U.S. economy. We construct three measures of TPU based on newspaper coverage, firms' earnings conference calls, and aggregate data on tari rates. We document that increases in TPU reduce investment and activity...

In 2019 and the early months of 2020, global trade faced two major albeit very different shocks, namely the United States-China trade war and the cascading response of the countries around the world to the COVID-19 pandemic. While the former situation involved a pair of centrally-placed trading...

Carbon-based import tariffs are discussed as policy measures to reduce carbon leakage and increase the global cost-effectiveness of unilateral CO2 emission pricing. We assess how the potential of carbon tariffs to increase cost-effectiveness of unilateral climate policy depends on the magnitude...