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Economic approach to climate policies and stakes of international negotiations

  • Patrick Criqui

    (LEPII - Laboratoire d'Economie de la Production et de l'Intégration Internationale - Grenoble 2 UPMF - Université Pierre Mendès France - CNRS)

  • Denise Cavard

    (LEPII - Laboratoire d'Economie de la Production et de l'Intégration Internationale - Grenoble 2 UPMF - Université Pierre Mendès France - CNRS)

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    This article deals with the different modalities that exist to manage a problem of collective action facing the climate change problem, which could affect the living conditions and economic activities of all the regions of the world. Economists are doubly concerned by this danger, first, in terms of defining response policies, second by the way of producing a public good.In the first part are reviewed some of the principles and methods of the economic approach to these subjects: (i) the debate between Cost-Benefit Analysis and Cost-Effectiveness Analysis, (ii) regulation by prices or quantities and the way models use ?environmental economics tools? that are taxes, tradable permits, norms and standards and hybrid instruments like ?standards and charges? or ?safety valve?, (iii) use and limit of economic models in international climate negotiation.. The second part uses the concepts of the International Political Economy for studying the process of organising joint action at the global level that is finding a governance model for the global environment. It uses the concepts of international regime and of leadership and defines the principal rules and institutions of the existing international agreements, with their achievements and weaknesses. It finally identifies four scenarios for the future of collective action.

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    Paper provided by HAL in its series Post-Print with number halshs-00003793.

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    Date of creation: Dec 2004
    Date of revision:
    Publication status: Published in Boutron C. ERCA : from indoor air pollution to the search for earth-like planets in the cosmos, EDP Sciences, p. 161-170, 2004, Journal de physique IV : proceedings n. 121, <10.105/jp4:2004121010>
    Handle: RePEc:hal:journl:halshs-00003793
    DOI: 10.105/jp4:2004121010
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    1. Nordhaus, William D, 1993. "Optimal Greenhouse-Gas Reductions and Tax Policy in the "Dice" Model," American Economic Review, American Economic Association, vol. 83(2), pages 313-17, May.
    2. repec:oup:restud:v:41:y:1974:i:4:p:477-91 is not listed on IDEAS
    3. Dani Rodrik, 2000. "How Far Will International Economic Integration Go?," Journal of Economic Perspectives, American Economic Association, vol. 14(1), pages 177-186, Winter.
    4. Odile Blanchard & Patrick Criqui & Alban Kitous & Laurent Viguier, 2003. "Combining efficiency with equity : a pragmatic approach," Post-Print halshs-00199569, HAL.
    5. Jon Hovi & Tora Skodvin & Steinar Andresen, 2003. "The Persistence of the Kyoto Protocol: Why Other Annex I Countries Move on Without the United States," Global Environmental Politics, MIT Press, vol. 3(4), pages 1-23, November.
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