scholarly journals Market failure, government failure and externalities in climate change mitigation: The case for a carbon tax

2008 ◽  
Vol 28 (5) ◽  
pp. 393-401 ◽  
Author(s):  
Brian Andrew
Keyword(s):  
Climate Change ◽  
Climate Change Mitigation ◽  
Market Failure ◽  
Carbon Tax ◽  
Government Failure ◽  
Change Mitigation

A CGE Analysis of the Effects of Global Climate Change Mitigation Policies on India

2018 ◽  
pp. 573-590
Author(s):  
Basanta K. Pradhan ◽  
Joydeep Ghosh
Keyword(s):  
Climate Change ◽  
Global Climate Change ◽  
Climate Change Mitigation ◽  
Carbon Tax ◽  
Global Climate ◽  
Value Added ◽  
Low Carbon ◽  
Mitigation Policy ◽  
Change Mitigation ◽  
Mitigation Policies

This paper compares the effects of a global carbon tax and a global emissions trading regime on India using a dynamic CGE framework. The sensitivity of the results to the value of a crucial elasticity parameter is also analysed. The results suggest that the choice of the mitigation policy is relatively unimportant from an efficiency perspective. However, the choice of the mitigation policy and the value of the substitution elasticity between value added and energy were found to be important determinants of welfare effects. Global climate change mitigation policies have the potential for promoting low carbon and inclusive growth in India.

The Limits of Carbon Disclosure: Theorizing the Business Case for Investor Environmentalism

2011 ◽  
Vol 11 (2) ◽  
pp. 98-119 ◽  
Author(s):  
Adam Harmes
Keyword(s):  
Climate Change ◽  
Institutional Investors ◽  
Financial Incentives ◽  
Climate Change Mitigation ◽  
Market Failure ◽  
Business Case ◽  
Share Price ◽  
Structural Constraints ◽  
Price Performance ◽  
Change Mitigation

This article examines the potential effectiveness of socially responsible investment (SRI) and investor environmentalism through carbon disclosure in terms of their key goal of creating real financial incentives, through share price performance, for firms to pursue climate change mitigation. It does so by theoretically assessing the two main assumptions which underpin investor environmentalism as promoted by SRI funds and NGOs such as the Carbon Disclosure Project: those concerning the power of institutional investors, and the “business case” for climate change mitigation. In doing so, it argues that the potential of using institutional investors to create real financial incentives for climate change mitigation, in the form of share price performance, has been considerably overestimated and that there is not even a strong theoretical case for why carbon disclosure should work in this regard. This is argued based on the structural constraints faced by most institutional investors, as well as the fundamentally incorrect assumption about climate change, that it is a form of market failure, which theoretically underpins these initiatives.

A CGE Analysis of the Effects of Global Climate Change Mitigation Policies on India

2016 ◽  
pp. 12-28
Author(s):  
Basanta K. Pradhan ◽  
Joydeep Ghosh
Keyword(s):  
Climate Change ◽  
Global Climate Change ◽  
Climate Change Mitigation ◽  
Carbon Tax ◽  
Global Climate ◽  
Value Added ◽  
Low Carbon ◽  
Mitigation Policy ◽  
Change Mitigation ◽  
Mitigation Policies

This paper compares the effects of a global carbon tax and a global emissions trading regime on India using a dynamic CGE framework. The sensitivity of the results to the value of a crucial elasticity parameter is also analysed. The results suggest that the choice of the mitigation policy is relatively unimportant from an efficiency perspective. However, the choice of the mitigation policy and the value of the substitution elasticity between value added and energy were found to be important determinants of welfare effects. Global climate change mitigation policies have the potential for promoting low carbon and inclusive growth in India.

scholarly journals Different Countries, Common Support for Climate Change Mitigation: The Case of Germany and Poland

Climate ◽  
2021 ◽  
Vol 9 (2) ◽  
pp. 27
Author(s):  
Zbigniew Bohdanowicz
Keyword(s):  
Climate Change ◽  
Climate Policy ◽  
Emotional Response ◽  
Climate Change Mitigation ◽  
Carbon Tax ◽  
The Public ◽  
Climate Policies ◽  
Common Support ◽  
Climate Crisis ◽  
Change Mitigation

There are numerous studies assessing the influence of individual sociological, political, and demographic factors on attitudes towards climate change. However, there is still a need for a deeper understanding of the reasons behind these attitudes and for research based on results from more than one country. This study empirically examines a range of psychosocial and demographic determinants of support for climate policy (renewable energy, energy efficiency and carbon tax) in Germany and Poland (n = 1969). The results show that the societies of both countries, despite significant differences in income, culture and political stance on climate change, similarly support implementation of climate policies. For both countries valid predictors of support are: awareness, emotional response to climate crisis, sense of control, and belief in effectiveness of solutions; the study also shows predictors relevant in only one country. Factor analysis identified similar dimensions of attitudes toward climate change in both countries. The main findings show that support for climate policy is high in both countries and that the public is ready to accept more ambitious climate goals. Despite the differences between the countries, a coherent climate policy seems justified. The study also shows differences between the countries and provides recommendations for policymakers.

scholarly journals COP Adoption, Implications and Projections of Climate Change Mitigation Policy for ASEAN Region

2021 ◽  
Author(s):  
adeel ahmed ◽  
Abul Quasem Al-Amin ◽  
Md. Mahmudul Alam ◽  
Brent Doberstein
Keyword(s):  
Climate Change ◽  
Sustainable Development ◽  
Climate Change Mitigation ◽  
Carbon Tax ◽  
Carbon Price ◽  
Mitigation Strategies ◽  
Industrial Emissions ◽  
Asean Member ◽  
Long Run ◽  
Change Mitigation

Abstract Climate Change is a critical concern for Southeast Asia as this region is extremely vulnerable to the extreme weather patterns, temperature fluctuations and uneven precipitation expected under climate change, and thus vulnerability is expected to increase in the future. With this background, this study aims to analyze the readiness of ASEAN member countries to undertake the promised determinants of INDCs by the Paris Agreement and transfer these into measurable actions, and also to explore how ASEAN nations may reduce climatic threats over time. Consequently, a long run RICE (Regional Integrated Climate and Economy) based dynamic non-linear numerical model for the economy and environment was utilised. Simulation forecasts investigated several alternatives in order to determine optimal climate strategies against global-warming in the region, using both an Optimal Scenario (OS) and Business-as-usual (BAU) projections from 2020 to 2060. The results indicate that under an optimal scenario, industrial emissions are estimated in monetary values, RM14.05 (US$1=RM4.30)(btCO2 per year) in 2040 and RM31.99 (btCO2 per year) by 2060. These estimated values under OS are striking for sustainable development since they are far lower than BAU projections. Carbon price (RM per tCO2) by OS indicates that the carbon tax could be RM224.65 in 2040, RM258.16 in 2050 and RM245.41 in 2060 per tCO2. The collected carbon tax can be reinvested by ASEAN nations in order to implement alternative backstop technologies and technological innovation. The optimal scenario outcomes examined for carbon emission reduction are tempting since they can support a strong balance between sustainable development and quality environment. Despite long-run economic assumptions, the findings are still a worthy means by which ASEAN governments can compare climate change mitigation strategies while also making amendments for any unexpected developments.

scholarly journals National Institutions and Global Public Goods: Are Democracies More Cooperative in Climate Change Policy?

2009 ◽  
Vol 63 (2) ◽  
pp. 281-308 ◽  
Author(s):  
Michèle B. Bättig ◽  
Thomas Bernauer
Keyword(s):  
Climate Change ◽  
Public Goods ◽  
Climate Change Mitigation ◽  
Market Failure ◽  
Climate Change Policy ◽  
Policy Outcomes ◽  
Political Commitment ◽  
Global Public Goods ◽  
Free Rider Problem ◽  
Change Mitigation

AbstractThis article examines whether democracies contribute more to the provision of global public goods. It thus contributes to the debate on the effects of domestic institutions on international cooperation. The focus is on human-induced climate change, in Stern's words “the biggest market failure the world has ever seen.”1 Using new data on climate change cooperation we study a cross-section of 185 countries in 1990–2004. The results show that the effect of democracy on levels of political commitment to climate change mitigation (policy output) is positive. In contrast, the effect on policy outcomes, measured in terms of emission levels and trends, is ambiguous. These results demonstrate that up until now the democracy effect has not been able to override countervailing forces that emanate from the free-rider problem, discounting of future benefits of climate change mitigation, and other factors that cut against efforts to reduce emissions. Even though democracies have had a slow start in moving from political and legal commitments (policy output) to emission reductions (policy outcomes), particularly in the transportation sector, we observe some encouraging signs. The main implication of our findings for research on international politics is that greater efforts should be made to study policy output and outcome side by side. This will help in identifying whether more democratic countries experience larger “words-deeds” gaps also in other policy areas, and whether there are systematic differences of this kind between domestic and international commitments and across different policy areas.

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