Is bioenergy trade good for the environment?
AbstractWe analyze the impacts of bioenergy trade on greenhouse gas emissions using a two-good, three-factor model. Bioenergy is an agricultural good used as a substitute for fossil fuels in industry. Governments tax domestic pollution without international coordination. We assume that northern countries have higher labor productivity than southern ones and that agriculture is less pollution intensive than industry (after taxation). We show that whereas southern countries impose a lower tax rate than northern ones, they do not necessary have a competitive advantage in industry, and that compared to autarky, trade liberalization either increases or decreases worldwide emissions depending on regional comparative advantages.
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Bibliographic InfoPaper provided by HAL in its series Post-Print with number hal-00750733.
Date of creation: Apr 2012
Date of revision:
Publication status: Published, European Economic Review, 2012, 56, 3, 411-421
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Bioenergy; Intermediate product; North-South trade; Global pollution;
This paper has been announced in the following NEP Reports:
- NEP-AGR-2012-11-24 (Agricultural Economics)
- NEP-ALL-2012-11-24 (All new papers)
- NEP-ENE-2012-11-24 (Energy Economics)
- NEP-ENV-2012-11-24 (Environmental Economics)
- NEP-INT-2012-11-24 (International Trade)
- NEP-PBE-2012-11-24 (Public Economics)
- NEP-RES-2012-11-24 (Resource Economics)
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- Bourgeon, Jean-Marc & Ollivier, Hélène, 2012.
"Is bioenergy trade good for the environment?,"
European Economic Review,
Elsevier, vol. 56(3), pages 411-421.
- Jean-Marc Bourgeon & Helene Ollivier, 2012. "Is bioenergy trade good for the environment?," UniversitÃ© Paris1 PanthÃ©on-Sorbonne (Post-Print and Working Papers) hal-00750733, HAL.
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