Does the social Cost of Carbon Matter?: An Assessment of U.S. Policy
Abstractwe evaluate a recent u.s. initiative to include the social cost of carbon (sCc) in regulatory decisions. To our knowledge, this paper provides the first systematic test of the extent to which applying the SCC has affected national policy. we examine all economically significant federal regulations since 2008, and obtain a surprising result: Putting a value on changes in carbon dioxide emissions does not generally affect the ranking of the preferred policy compared with the status quo. overall, we find little evidence that use of the SCC has affected u.s. policy choices to date. we offer an explanation related to the political economy of regulation.
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Bibliographic InfoPaper provided by Faculty of Economics, University of Cambridge in its series Cambridge Working Papers in Economics with number 1346.
Date of creation: 27 Nov 2013
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Web page: http://www.econ.cam.ac.uk/index.htm
Cost-Benefit Analysis; Social Cost of Carbon; Climate Policy; Regulatory Innovation;
Find related papers by JEL classification:
- H43 - Public Economics - - Publicly Provided Goods - - - Project Evaluation; Social Discount Rate
- K32 - Law and Economics - - Other Substantive Areas of Law - - - Environmental, Health, and Safety Law
- Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
- Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-12-06 (All new papers)
- NEP-ENE-2013-12-06 (Energy Economics)
- NEP-ENV-2013-12-06 (Environmental Economics)
- NEP-REG-2013-12-06 (Regulation)
- NEP-RES-2013-12-06 (Resource Economics)
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