Deregulation of the Nordic Power Market and Environmental Policy

Eirik S. Amundsen (), A. Nesse and Sigve Tjøtta ()

Norway; Department of Economics, University of Bergen from Department of Economics, University of Bergen

Abstract: A common Nordic power market will reduce total CO2 emissions in the Nordic countries as compared to a situation of autarky and, thus, reduce the aggregate cost of complying to strict national CO2 emission targets. A common market for CO2 emissions permits may reduce the aggregate cost further, but this cost reduction will be smaller the harsher the CO2 emission constraints are.

Keywords: ENVIRONMENTAL POLICY; DEREGULATION; INTERNATIONAL TRADE (search for similar items in EconPapers)
JEL-codes: C61 F11 F14 L94 Q41 (search for similar items in EconPapers)
Date: 1999
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