Effects of international climate policy for India: evidence from a national and global CGE model

Abstract

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. In order to reach the two degree target it is necessary to control CO2 emissions also in fast growing emerging economies such as India. The question is how the Indian economy would be affected by e.g. including the country into an international climate regime. Existing analyses with either a global model or a single country computable general equilibrium model miss important aspects such as distributional issues or international repercussions. By soft-linking models of these two classes, we provide a more detailed view on these issues. In particular, we analyze different options of transferring revenues from domestic carbon taxes and international transfers to different household types and how different assumptions on exchange rates affect transfer payments. We also show effects stemming from international price repercussions. Our analysis focusses on how these transmission channels affect welfare of nine different household types. Terms of use: Documents in

The economic and environmental benefits from international co-ordination on carbon pricing

“…Co-ordinated FFS removal would lead to aggregate welfare gains. All studies assessed for this paper indicate that joint global welfare would increase with co-ordinated FFS reform, ranging between 0.2% (Schwanitz et al, 2014[67]) by 2150 26 and 0.4% (Burniaux and Chateau, 2014[70]) in 2050 compared to BAU. Moreover, the gains in aggregate welfare would increase with an increasing number of cooperating countries and, thus, in the size of FFS removals (Schwanitz et al, 2014[67]).…”

Integrating Methods and Empirical Findings from Social and Behavioural Sciences into Energy System Models—Motivation and Possible Approaches

“…Models: example representatives of the model category are: DART [27,28], EMEC [29,30], GEM-E3 [31], IMACLIM-R [32], NEWAGE [33], PACE [34], SNOW-NO [35,36].…”

Income and Price Elasticities of Demand in South Africa: An Application of the Linear Expenditure System

“…Despite these constraints the LES system is still one of the most commonly used demand systems in CGE modelling (e.g. Fujimori et al, 2014;Erero, 2015;Weitzel et al, 2015;Ochuodho et al, 2016). The restrictive implications for consumer behaviour across income groups can also be relaxed by estimating the model on different income quantiles, as we do in our empirical analysis in Section 6 below.…”