Multilateral negotiations over climate change policy
Ligia Pinto and
Glenn Harrison ()
No 1, NIMA Working Papers from Núcleo de Investigação em Microeconomia Aplicada (NIMA), Universidade do Minho
Negotiations in the real world have many features which tend to be ignored inpolicy modeling. They are often multilateral, involving many negotiating parties with preferences over outcomes that can differ substantially. They are also often multi-dimensional,in the sense that several policies are negotiated over simultaneously. Trade negotiations are a prime example, as are negotiations over environmental policies toabate carbon dioxide. We demonstrate how one can formally model this type of negotiation process. We use a policy-oriented computable general equilibrium model to generate preference functions which are then used in a formal multilateral bargaining game. The case study is to climate change policy, but the main contribution is to demonstrate how one can integrate formal economic models of the impacts of policies with formal bargaining models of the negotiations over those policies.
Keywords: CGE; bilateral bargaining; CO2; Climate Change (search for similar items in EconPapers)
JEL-codes: C7 D5 (search for similar items in EconPapers)
Pages: 24 pages
New Economics Papers: this item is included in nep-cdm and nep-env
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Journal Article: Multilateral negotiations over climate change policy (2003)
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Persistent link: https://EconPapers.repec.org/RePEc:nim:nimawp:1/2000
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