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Trade in the greenhouse: efficient policy in a global model

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Author Info
Geraint Johnes

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Abstract

The impact of environmental Kuznets curve (EKC) effects is evaluated in the context of a full model of production and trade within and between rich and poor economies. The shape of iso-emissions curves, defined in tariff and emissions tax space, is evaluated both in the presence and in the absence of an EKC. Gains in the income of developing countries are possible without compromising on emissions where there are inefficiencies in policy. However, where policy is efficient there exists an important trade-off, evaluated here, between emissions and developing country income.

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Paper provided by Lancaster University Management School, Economics Department in its series Working Papers with number 005293.

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Date of creation: 2008
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Handle: RePEc:lan:wpaper:005293

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Related research
Keywords: Trade; Environment;

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  1. Brian R. Copeland & M. Scott Taylor, 2003. "Trade, Growth and the Environment," NBER Working Papers 9823, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  2. Werner Antweiler & Brian R. Copeland & M. Scott Taylor, 2001. "Is Free Trade Good for the Environment?," American Economic Review, American Economic Association, vol. 91(4), pages 877-908, September. [Downloadable!] (restricted)
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  3. Matthew A. Cole & Robert J. R. Elliott, 2003. "Do Environmental Regulations Influence Trade Patterns? Testing Old and New Trade Theories," The World Economy, Blackwell Publishing, vol. 26(8), pages 1163-1186, 08. [Downloadable!] (restricted)
  4. Susmita Dasgupta et al., 2002. "Confronting the Environmental Kuznets Curve," Journal of Economic Perspectives, American Economic Association, vol. 16(1), pages 147-168, Winter. [Downloadable!] (restricted)
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