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Marginal Costs of Carbon Dioxide Abatement: Empirical Evidence from Cross-Country Analysis

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Author Info
David Maradan
Anatoli Vassiliev

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Abstract

This paper examines how the marginal CO2 abatement costs vary throughout stages of economic development, and how these variations may be related to the Environmental Kuznets Curve (EKC) hypothesis. By assuming the existence of a technological link between production of desirable outputs and pollution, shadow prices of carbon emissions are estimated for 76 developing and developed countries. The results show that immediate carbon reductions are more costly in terms of desirable output forgone in the developing economies than in the developed ones. Several interpretations of this finding are finally proposed.

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Article provided by Swiss Society of Economics and Statistics (SSES) in its journal Swiss Journal of Economics and Statistics.

Volume (Year): 141 (2005)
Issue (Month): III (September)
Pages: 377-410
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Handle: RePEc:ses:arsjes:2005-iii-4

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Related research
Keywords: Carbon dioxide emissions; Marginal abatement costs; Environmental Kuznets Curve; Directional distance function;

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Find related papers by JEL classification:
C61 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Optimization Techniques; Programming Models; Dynamic Analysis
Q52 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Pollution Control Costs; Distributional Effects; Employment Effects
Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounting

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  20. repec:att:wimass:199513 is not listed on IDEAS
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Cited by:
(explanations, 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.)

  1. Hannes Egli & Thomas Steger, 2007. "A Dynamic Model of the Environmental Kuznets Curve: Turning Point and Public Policy," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 36(1), pages 15-34, January. [Downloadable!] (restricted)
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  2. Hannes Egli, 2005. "A New Approach to Pollution Modelling in Models of the Environmental Kuznets Curve," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 141(III), pages 459-473, September. [Downloadable!]
    Other versions:
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