Clear Skies: Multi-Pollutant Climate Policy in the Presence of Global Dimming

Matthew McGinty and Frans P. de Vries

Strategic Behavior and the Environment, 2024, vol. 10, issue 1-2, 39-78

Abstract: 222222Multi-pollutant interactions can have crucial implications for the design and performance of environmental policy targeting single pollutants. This paper presents a two-region model where a global pollutant (CO) and local pollutant (SO) are produced jointly. The interaction between SO and CO gives rise to the global dimming effect, which relates SO emissions to the environmental damage caused by CO emissions. We analyze climate policy by comparing abatement of these pollutants in the presence and absence of the dimming effect. We then draw implications for the design of international climate agreements, which should reflect the interactive nature between pollutants. The paper also illustrates how a market-based policy in the form of emissions taxes can be embedded into climate agreements to facilitate an efficient coordination of multi-pollutant abatement across regions. Our model predicts that this involves a uniform tax on the global pollutant but differentiated (region-specific) taxes on the local pollutant.

Date: 2024
References: Add references at CitEc
Citations:

Downloads: (external link)
http://dx.doi.org/10.1561/102.00000107 (application/xml)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:now:jnlsbe:102.00000107

Access Statistics for this article

More articles in Strategic Behavior and the Environment from now publishers
Bibliographic data for series maintained by Lucy Wiseman ().