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The Carbon Content of Austrian Trade Flows in the European and International Trade Context

  • Birgit Bednar-Friedl
  • Pablo Muñoz Jaramillo
  • Thomas Schinko
  • Karl Steininger

In this study CO2 emissions embodied in Austrian international trade are quantified employing a 66-region input output model of multidirectional trade. We find that Austria’s final demand CO2 responsibilities on a global scale are 38% higher than conventional statistics report (110 Mt-CO2 versus 79 Mt-CO2 in 2004). For each unit of Austrian final demand, currently two thirds of the thus triggered CO2 emissions occur outside Austrian borders. We then develop a 19-region computable general equilibrium model of Austria and its major trading partners and world regions to find that future Austrian climate policy can achieve the EU 20-20 emission reduction targets, but that its carbon trade balance would worsen considerably. Both unilateral EU and internationally coordinated climate policies affect Austrian international trade stronger than its domestic production.

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Paper provided by FIW in its series FIW Research Reports series with number II-005.

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Length: 112
Date of creation: Jan 2010
Date of revision:
Handle: RePEc:wsr:ecbook:2010:i:ii-005
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Order Information: Postal: FIW Project Office Austrian Institute of Economic Research Arsenal Objekt 20 A-1030 Vienna
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