The CO2 Abatement Game: Costs, Incentives and the Stability of a Sub-Global Coalition
AbstractThis paper studies the economic incentives and the institutional issues governing the outcomes of a short-term climate change policy package guided by the United Nations' Framework Convention on Climate Change and the Berlin Mandate initiatives. Game theoretic tools and the global trade-environment interface are explored within a 26-region, 13- commodity computable general equilibrium framework to characterize the incentives of OECD regions to comply with a non-binding agreement in a carbon abatement coalition. The results have shown that the achievement of such a coalition as well as its expansion by means of self-financed schemes are possible if suitable trade instruments are designed.
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Bibliographic InfoPaper provided by EconWPA in its series Computational Economics with number 9807002.
Length: 55 pages
Date of creation: 26 Jul 1998
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CGE Abatement CO2 coalition subgame connected-game;
Find related papers by JEL classification:
- C8 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs
This paper has been announced in the following NEP Reports:
- NEP-ALL-1998-10-02 (All new papers)
- NEP-CDM-1998-10-02 (Collective Decision-Making)
- NEP-ENV-1998-10-02 (Environmental Economics)
- NEP-PBE-1998-10-02 (Public Economics)
- NEP-POL-1998-10-02 (Positive Political Economics)
- NEP-PUB-1998-10-02 (Public Finance)
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