Can Carbon Based Tariffs Effectively Reduce Emissions? A Numerical Analysis with Focus on China

Michael Hübler

No 331921, Conference papers from Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project

Abstract: (1) We estimate CO2 implicitly exported via commodities relative to a region’s total emissions: We find -15% for the industrialized, 10% for the developing region, and 25% for China. (2) We analyze a Contraction and Convergence climate regime in a CGE model including international capital mobility and technology diffusion: When China does not participate in the regime and instead a carbon tariff is imposed on its exports, it will likely be worse off than when participating. This result does not hold for the developing region in general. Meanwhile, the effect on emissions appears small.

Keywords: Environmental Economics and Policy; International Relations/Trade (search for similar items in EconPapers)
Pages: 29
Date: 2010
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Persistent link: https://EconPapers.repec.org/RePEc:ags:pugtwp:331921

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