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International Environmental Agreements in the Presence of Adaptation

  • Walid Marrouch
  • Amrita Ray Chaudhuri

We show that adaptive measures undertaken by countries in the face of climate change, apart from directly reducing the damage caused by climate change, may also indirectly mitigate greenhouse gas emissions by increasing the stable size of international agreements on emission reductions. Moreover, we show that the more effective the adaptive measure in terms of reducing the marginal damage from emissions, the larger the stable size of the international environmental agreement. In addition, we show that larger coalitions may lead to lower global emission levels and higher welfare. Nous montrons que les mesures d'adaptation aux changements climatiques vont réduire directement les dommages causés par les changements climatiques. En plus, ces mesures peuvent aussi, indirectement, réduire les émissions des gaz à effet de serre puisqu'ils vont augmenter le nombre des participants dans les accords internationaux sur la réduction des émissions. En outre, nous montrons que la taille stable des accords internationaux sur l'environnement augmente avec l'efficacité des mesures d'adaptation. Par ailleurs, nous établissons que les grandes coalitions peuvent mener à des niveaux inférieurs d'émissions globales, et en plus ces grandes coalitions augment le bien-être mondial.

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Paper provided by CIRANO in its series CIRANO Working Papers with number 2011s-32.

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Length: 33 pages
Date of creation: 01 Feb 2011
Date of revision:
Handle: RePEc:cir:cirwor:2011s-32
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  2. d'ASPREMONT, Claude & JACQUEMIN, Alexis & GABSZEWICZ, Jean J. & WEYMARK, John A., . "On the stability of collusive price leadership," CORE Discussion Papers RP -522, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
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  8. Nordhaus, William D & Yang, Zili, 1996. "A Regional Dynamic General-Equilibrium Model of Alternative Climate-Change Strategies," American Economic Review, American Economic Association, vol. 86(4), pages 741-65, September.
  9. Barrett, Scott, 1994. "Self-Enforcing International Environmental Agreements," Oxford Economic Papers, Oxford University Press, vol. 46(0), pages 878-94, Supplemen.
  10. Parkash Chander & Henry Tulkens, 1995. "A core-theoretic solution for the design of cooperative agreements on transfrontier pollution," International Tax and Public Finance, Springer, vol. 2(2), pages 279-293, August.
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  12. Collins, Julie, 2007. "Climate Change and Emissions Trading (Power Point)," 2007 Seminar, August 24, 2007, Wellington, New Zealand 97617, New Zealand Agricultural and Resource Economics Society.
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  14. Heike Auerswald & Kai A. Konrad & Marcel Thum, 2011. "Adaptation, Mitigation and Risk-Taking in Climate Policy," CESifo Working Paper Series 3320, CESifo Group Munich.
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