We derive the optimal unilateral policy in a general equilibrium model of trade and climate change where one region of … the world imposes a climate policy and the rest of the world does not. A climate policy in one region shifts activities … rate than the extraction tax rate, and (iii) a goods-specific export subsidy. The policy controls leakage by combining …

We provide ex-post empirical analysis of the effects of climate policies on carbon dioxide emissions at the aggregate … national level. Our results are based on a comprehensive database of 121 countries. As climate policies we examine carbon taxes … and emissions trading systems (ETS), as well as the overall stringency of climate policies. We use dynamic panel …