Marginal abatement cost curves in general equilibrium: The influence of world energy prices
AbstractMarginal abatement cost curves (MACCs) are a favorite instrument to analyze international emissions trading. This paper focusses on the question of how to define MACCs in a general equilibrium context where the global abatement level influences energy prices and in turn national MACCs. We discuss the mechanisms theoretically and then use the CGE model DART for quantitative simulations. The result is, that changes in energy prices resulting from different global abatement levels do indeed affect national MACCs. Also, we compare different possibilities of defining MACCs - of which some are robust against changes in energy prices while others vary considerably. --
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Elsevier in its journal Resource and Energy Economics.
Volume (Year): 28 (2006)
Issue (Month): 1 (January)
Contact details of provider:
Web page: http://www.elsevier.com/locate/inca/505569
Other versions of this item:
- Klepper, Gernot & Peterson, Sonja, 2006. "Marginal abatement cost curves in general equilibrium: The influence of world energy prices," Open Access Publications from Kiel Institute for the World Economy 3775, Kiel Institute for the World Economy (IfW).
- Gernot Klepper & Sonja Peterson, 2004. "Marginal Abatement Cost Curves in General Equilibrium: The Influence of World Energy Prices," Working Papers 2004.136, Fondazione Eni Enrico Mattei.
- C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
- D58 - Microeconomics - - General Equilibrium and Disequilibrium - - - Computable and Other Applied General Equilibrium Models
- F18 - International Economics - - Trade - - - Trade and Environment
- Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Zhang, ZhongXiang & Löschel, Andreas, 2002.
"The Economic and Environmental Implications of the US Repudiation of the Kyoto Protocol and the Subsequent Deals in Bonn and Marrakech,"
ZEW Discussion Papers
02-28, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
- Andreas Löschel & Zhong Zhang, 2002. "The economic and environmental implications of the US repudiation of the kyoto protocol and the subsequent deals in Bonn and Marrakech," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 138(4), pages 711-746, December.
- Böhringer, Christoph & Löschel, Andreas, 2001. "Market power in international emissions trading : the impact of U.S. withdrawal from the Kyoto Protocol," ZEW Discussion Papers 01-58, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
- Christoph BOhringer & Andreas LOschel, 2003. "Market power and hot air in international emissions trading: the impacts of US withdrawal from the Kyoto Protocol," Applied Economics, Taylor & Francis Journals, vol. 35(6), pages 651-663.
- Böhringer, Christoph, 2001. "Climate politics from Kyoto to Bonn: from little to nothing?!?," ZEW Discussion Papers 01-49, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
- Gernot Klepper & Sonja Peterson, 2003. "On the Robustness of Marginal Abatement Cost Curves: The Influence of World Energy Prices," Kiel Working Papers 1138, Kiel Institute for the World Economy.
- Gernot Klepper & Sonja Peterson & Katrin Springer, 2003. "DART97: A Description of the Multi-regional, Multi-sectoral Trade Model for the Analysis of Climate Policies," Kiel Working Papers 1149, Kiel Institute for the World Economy.
- VAN STEENBERGHE, Vincent, 2003. "CO2 abatement costs and permits price : Exploring the impact of banking and the role of future commitments," CORE Discussion Papers 2003098, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- McKitrick, Ross, 1999. "A Derivation of the Marginal Abatement Cost Curve," Journal of Environmental Economics and Management, Elsevier, vol. 37(3), pages 306-314, May.
- Hans Gersbach & Ralph Winkler, 2008.
"International Emission Permit Markets with Refunding,"
CER-ETH Economics working paper series
08/97, CER-ETH - Center of Economic Research (CER-ETH) at ETH Zurich.
- Gersbach, Hans & Winkler, Ralph, 2011. "International emission permit markets with refunding," European Economic Review, Elsevier, vol. 55(6), pages 759-773, August.
- Gersbach, Hans & Winkler, Ralph, 2008. "International Emission Permit Markets with Refunding," CEPR Discussion Papers 7035, C.E.P.R. Discussion Papers.
- John Foster & Liam Wagner & Phil Wild & Junhua Zhao & Lucas Skoofa & Craig Froome, 2011. "Market and Economic Modelling of the Intelligent Grid: End of Year Report 2009," Energy Economics and Management Group Working Papers 09, School of Economics, University of Queensland, Australia.
- Lehmann, Paul, 2010.
"Combining emissions trading and emissions taxes in a multi-objective world,"
UFZ Discussion Papers
4/2010, Helmholtz Centre for Environmental Research (UFZ), Division of Social Sciences (ÖKUS).
- Lehmann, Paul, 2010. "Combining emissions trading and emissions taxes in a multi-objective world," MPRA Paper 22544, University Library of Munich, Germany.
- Jaehn, Florian & Letmathe, Peter, 2010. "The emissions trading paradox," European Journal of Operational Research, Elsevier, vol. 202(1), pages 248-254, April.
- Sonja Peterson & Gernot Klepper, 2007. "Distribution Matters � Taxes vs. Emissions Trading in Post Kyoto Climate Regimes," Kiel Working Papers 1380, Kiel Institute for the World Economy.
- Lange, Andreas & Löschel, Andreas & Vogt, Carsten & Ziegler, Andreas, 2010.
"On the self-interested use of equity in international climate negotiations,"
European Economic Review,
Elsevier, vol. 54(3), pages 359-375, April.
- Andreas Lange & Andreas Löschel & Carsten Vogt & Andreas Ziegler, 2009. "On the Self-interested Use of Equity in International Climate Negotiations," NBER Working Papers 14930, National Bureau of Economic Research, Inc.
- Adrien Vogt-Schilb & Stéphane Hallegatte, 2011. "When Starting with the Most Expensive Option Makes Sense On Marginal Abatement Cost Curves and Optimal Abatement Pathways," Working Papers hal-00626261, HAL.
- Wassmann, R. & Pathak, H., 2007. "Introducing greenhouse gas mitigation as a development objective in rice-based agriculture: II. Cost-benefit assessment for different technologies, regions and scales," Agricultural Systems, Elsevier, vol. 94(3), pages 826-840, June.
- Koenig, P., 2011. "Modelling Correlation in Carbon and Energy Markets," Cambridge Working Papers in Economics 1123, Faculty of Economics, University of Cambridge.
- Blyth, William & Bunn, Derek & Kettunen, Janne & Wilson, Tom, 2009. "Policy interactions, risk and price formation in carbon markets," Energy Policy, Elsevier, vol. 37(12), pages 5192-5207, December.
- Mendoza Beltran, Angelica & den Elzen, Michel G.J. & Hof, Andries F. & van Vuuren, Detlef P. & van Vliet, Jasper, 2011. "Exploring the bargaining space within international climate negotiations based on political, economic and environmental considerations," Energy Policy, Elsevier, vol. 39(11), pages 7361-7371.
- Wilfried Rickels & Katrin Rehdanz & Andreas Oschlies, 2009. "Economics prospects of ocean iron fertilization in an international carbon market," Kiel Working Papers 1573, Kiel Institute for the World Economy.
- Vijay, Samudra & DeCarolis, Joseph F. & Srivastava, Ravi K., 2010. "A bottom-up method to develop pollution abatement cost curves for coal-fired utility boilers," Energy Policy, Elsevier, vol. 38(5), pages 2255-2261, May.
- Nadine Heitmann & Sonja Peterson, 2012. "The Potential Contribution of the Shipping Sector to an Efficient Reduction of Global Carbon Dioxide Emissions," Kiel Working Papers 1813, Kiel Institute for the World Economy.
- Anger, Niels, 2008. "Emissions trading beyond Europe: Linking schemes in a post-Kyoto world," Energy Economics, Elsevier, vol. 30(4), pages 2028-2049, July.
- Golub, Alla & Hertel, Thomas & Lee, Huey-Lin & Rose, Steven & Sohngen, Brent, 2009. "The opportunity cost of land use and the global potential for greenhouse gas mitigation in agriculture and forestry," Resource and Energy Economics, Elsevier, vol. 31(4), pages 299-319, November.
- Breen, James P. & Donellan, Trevor, 2009. "Estimating the Marginal Costs of Greenhouse Gas Emissions Abatement using Irish Farm-Level Data," 83rd Annual Conference, March 30-April 1, 2009, Dublin, Ireland 50938, Agricultural Economics Society.
- Kiuila, O. & Rutherford, T.F., 2013. "Piecewise smooth approximation of bottom–up abatement cost curves," Energy Economics, Elsevier, vol. 40(C), pages 734-742.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).
If references are entirely missing, you can add them using this form.