The Doha declaration on trade and environment proposed to clarify the relationship between multilateral environmental agreement (MEA) trade obligations and WTO rules by only guaranteeing economic integration upon ratification of certain MEAs. In other words, it pushed to authorize the use of...

Border Carbon Adjustment Mechanisms (BCAMs) are becoming reality in the EU and elsewhere, and recur—in very different form—in U.S. legislative proposals. But they remain contentious, with features and differences that leave the underlying welfare rationale and implications unclear. Exploring...

This paper studies the impact of national carbon taxes on CO2 emissions. To do so, we run local projections on a cross-country panel dataset, matching measures of emissions of carbon dioxide with information on the introduction of carbon taxes and their implied price. Importantly, we consider...

Unilateral CO2 emission reduction can lead to carbon leakage, such as relocation of power-intensive and trade-exposed industries. In the EU emission trading system, these industries are also subjected to higher cost of electricity due to emission pricing in this sector. As a result, the...

In theory, market-based regulatory instruments correct market failures at least cost. However, evidence on their efficacy remains scarce. Using administrative data, we estimate that, on average, the EU ETS - the world's first and largest market-based climate policy - induced regulated...

Countries with ambitious climate targets are concerned about carbon leakage to countries with more lenient or no carbon pricing. A common policy measure against leakage is output-based allocation of emissions allowances, whose effectiveness could be further enhanced by consumption taxes levied...

Countries with ambitious climate targets are concerned about carbon leakage to countries with more lenient or no carbon pricing. A common policy measure against leakage is output-based allocation of emissions allowances, whose effectiveness could be further enhanced by consumption taxes levied...

Human activity has transformed the planet at a pace and scale unprecedented in recorded history, causing irreversible damage to communities and ecosystems. Countries have focused their capacities on economic growth, with too little attention to externalities in terms of environmental quality....

Menschliche Aktivitäten haben den Planeten in einem in der Geschichte beispiellosen Tempo und Ausmaß verändert und irreversible Schäden an Gemeinschaften und Ökosystemen verursacht. Die Länder haben ihre Kapazitäten auf das Wirtschaftswachstum konzentriert und dabei den damit verbundenen...

L’activité humaine a transformé la planète à un rythme et à une échelle sans précédent dans l’histoire, causant des dommages irréversibles aux communautés et aux écosystèmes. Les pays ont concentré leurs capacités sur la croissance économique, avec peu d’attention aux...