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Technology transfers in the Clean Development Mechanism: an incentives issue

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  • Millock, Katrin

Abstract

The Clean Development Mechanism (CDM) offers abatement cost savings under the Kyoto Protocol by allowing credits for emission reductions obtained in signatory developing countries. The paper argues that technology transfers can improve incentives for cost-effective emission reductions under bilateral CDM contracts when there is asymmetric information between the investor and the host party.JEL classification: Q20; D82

Suggested Citation

  • Millock, Katrin, 2002. "Technology transfers in the Clean Development Mechanism: an incentives issue," Environment and Development Economics, Cambridge University Press, vol. 7(3), pages 449-466, July.
    • Handle: RePEc:cup:endeec:v:7:y:2002:i:03:p:449-466_00
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    Cited by:

    1. Thierry Bréchet & Yann Ménière & Pierre M. Picard, 2016. "The Clean Development Mechanism in a world carbon market," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 49(4), pages 1569-1598, November.
    2. Matthieu Glachant & Yann Ménière, 2011. "Project Mechanisms and Technology Diffusion in Climate Policy," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 49(3), pages 405-423, July.
    3. Perrings, Charles, 2014. "Environment and development economics 20 years on," Environment and Development Economics, Cambridge University Press, vol. 19(3), pages 333-366, June.
    4. Nguyen, Trung Thanh & Nghiem, Nhung, 2016. "Optimal forest rotation for carbon sequestration and biodiversity conservation by farm income levels," Forest Policy and Economics, Elsevier, vol. 73(C), pages 185-194.
    5. Thierry Bréchet & Yann Ménière & Pierre M. Picard, 2016. "The Clean Development Mechanism in a world carbon market," Canadian Journal of Economics, Canadian Economics Association, vol. 49(4), pages 1569-1598, November.
    6. Hagem, Cathrine, 2009. "The clean development mechanism versus international permit trading: The effect on technological change," Resource and Energy Economics, Elsevier, vol. 31(1), pages 1-12, January.
    7. Rubbelke, Dirk T.G. & Mukherjee, Vivekananda & Sanyal, Tilak, 2008. "Technology Transfer in the Non-traded Sector as a Means to Combat Global Warming," Climate Change Modelling and Policy Working Papers 44228, Fondazione Eni Enrico Mattei (FEEM).
    8. repec:dau:papers:123456789/4069 is not listed on IDEAS
    9. Emma Paulsson, 2009. "A review of the CDM literature: from fine-tuning to critical scrutiny?," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 9(1), pages 63-80, February.
    10. Doranova, Asel & Costa, Ionara & Duysters, Geert, 2010. "Knowledge base determinants of technology sourcing in clean development mechanism projects," Energy Policy, Elsevier, vol. 38(10), pages 5550-5559, October.
    11. Cemal Atici, 2022. "Reconciling the flexibility mechanisms of climate policies towards the inclusiveness of developing countries: commitments and prospects," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(7), pages 9048-9067, July.
    12. Joyeeta Gupta & Harro van Asselt & Onno Kuik & Chris Evans, 2007. "Exogenous Promotion of Sustainable Electricity Policies in India: Opportunities and Challenges," Energy & Environment, , vol. 18(3-4), pages 403-420, July.
    13. Schneider, Malte & Holzer, Andreas & Hoffmann, Volker H., 2008. "Understanding the CDM's contribution to technology transfer," Energy Policy, Elsevier, vol. 36(8), pages 2920-2928, August.
    14. Linda Sahlén & Thomas Aronsson & Kenneth Backlund, 2006. "Technology Transfers and the Clean Development Mechanism in a North-South General Equilibrium Model," Working Papers 2006.145, Fondazione Eni Enrico Mattei.
    15. Nicola Cantore & Emilio Padilla, 2009. "Emissions distribution in post–Kyoto international negotiations: a policy perspective," Working Papers wpdea0907, Department of Applied Economics at Universitat Autonoma of Barcelona.
    16. M. Germain & A. Magnus & V. Steenberghe, 2007. "How to design and use the clean development mechanism under the Kyoto Protocol? A developing country perspective," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 38(1), pages 13-30, September.
    17. Theresa Stahlke, 2020. "The impact of the Clean Development Mechanism on developing countries’ commitment to mitigate climate change and its implications for the future," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 25(1), pages 107-125, January.
    18. Fuhai Hong, 2014. "Technology transfer with transboundary pollution: A signalling approach," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 47(3), pages 953-980, August.

    More about this item

    JEL classification:

    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design

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