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Technology Transfer in the Non-traded Sector as a Means to Combat Global Warming

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Author Info
Dirk T.G. Rübbelke (CICERO)
Vivekananda Mukherjee (Jadavpur University)
Tilak Sanyal (Jadavpur University)

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Abstract

The paper considers a situation where two countries – the North and the South – use a non-traded polluting input to produce the goods for final consumption. The North is more efficient in both, production and abatement processes. The study compares the effects of the transfer of abatement technology by the North to the South under autarky with the free trade situation, assuming that the North pre-commits to an international protocol to keep the global pollution under a fixed level. The conditions under which either full or partial technology is transferred in autarky are determined. It is shown that under free trade no such transfer is possible. With trade even though the North wants a complete transfer of technology, the South refuses it.

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Publisher Info
Paper provided by Fondazione Eni Enrico Mattei in its series Working Papers with number 2008.78.

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Date of creation: Sep 2008
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Handle: RePEc:fem:femwpa:2008.78

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Related research
Keywords: GHG Emissions; Mitigation; Technology Transfer; International Trade;

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Find related papers by JEL classification:
F18 - International Economics - - Trade - - - Trade and Environment
F35 - International Economics - - International Finance - - - Foreign Aid
Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters
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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References listed on IDEAS
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  1. Copeland, Brian R. & Taylor, M. Scott, 1999. "Trade, spatial separation, and the environment," Journal of International Economics, Elsevier, vol. 47(1), pages 137-168, February. [Downloadable!] (restricted)
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  2. Brian R. Copeland & M. Scott Taylor, 2004. "Trade, Growth, and the Environment," Journal of Economic Literature, American Economic Association, vol. 42(1), pages 7-71, March. [Downloadable!] (restricted)
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  3. Reppelin-Hill, Valerie, 1999. "Trade and Environment: An Empirical Analysis of the Technology Effect in the Steel Industry," Journal of Environmental Economics and Management, Elsevier, vol. 38(3), pages 283-301, November. [Downloadable!] (restricted)
  4. Schelling, Thomas C, 1992. "Some Economics of Global Warming," American Economic Review, American Economic Association, vol. 82(1), pages 1-14, March.
  5. repec:eab:tradew:179 is not listed on IDEAS
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  6. Millock, Katrin, 2002. "Technology transfers in the Clean Development Mechanism: an incentives issue," Environment and Development Economics, Cambridge University Press, vol. 7(03), pages 449-466, July. [Downloadable!]
  7. Fischer, Carolyn & Newell, Richard G., 2008. "Environmental and technology policies for climate mitigation," Journal of Environmental Economics and Management, Elsevier, vol. 55(2), pages 142-162, March. [Downloadable!] (restricted)
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  8. Josh Ederington & Arik Levinson & Jenny Minier, 2004. "Trade Liberalization and Pollution Havens," NBER Working Papers 10585, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  9. Jeffrey A. Frankel & Andrew K. Rose, 2005. "Is Trade Good or Bad for the Environment? Sorting Out the Causality," The Review of Economics and Statistics, MIT Press, vol. 87(1), pages 85-91, October. [Downloadable!] (restricted)
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