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...

Economic theory suggests that with a pollution externality and learning spillovers related to renewable energy technologies, the optimal climate policy mix includes an emissions policy and an output subsidy to the learning industry. Instead of output subsidies, feed-in tariffs are often...

This paper examines individuals' willingness to pay (WTP) to offset their carbon footprint in response to receiving information about (i) the size of their own carbon footprint, and (ii) further receiving in addition information about the difference between their carbon footprint and the target...

So-called virtual water, the water "embedded" in internationally traded goods, has come under discussion. The amount of quantitative studies which attempt to estimate volumes and flows of virtual water in relation to agricultural trade is rising rapidly, while the concept has been recognized by...

With the expansion of renewable energy sources (RES) in countries all over the world, policy design to address the negative impacts of RES plants on their local and regional environment gains in importance. We analyse whether policy design should be spatially-differentiated or uniform when...

The German energy transition repeatedly faces harsh critiques questioning its economic and environmental merit. This article defends the Energiewende and argues that Germany has chosen a rational and particularly forceful approach to securing sustainable energy supply. Though current...

This article provides a review of economic studies analyzing the use of multiple policies - a socalled policy mix - to cope with single pollution problems. To guide and structure the review, an analytical framework is developed and applied. The framework integrates transaction costs into the...