Posted on October 28, 2009

U.S. Industry and Cap-and-Trade : Designing Provisions to Maintain Domestic Competitiveness and Mitigate Emissions Leakage

Brookings Institution/ by Carolyn Fischer and Richard Morgenstern http://tinyurl.com/yksauet [From summary] This paper reviews the evidence on the competitiveness burdens imposed on domestic energy-consuming industries as a result of a unilateral or near-unilateral carbon pricing policy. We also examine the nature and magnitude of emissions leakage that could undermine the environmental effectiveness of such a … Continue reading »

Equity and Efficiency in Cap-And-Trade : Effectively Managing the Emissions Allowance Supply

Brookings Institution / by Adele Morris http://tinyurl.com/ykezgbk (summary) / http://tinyurl.com/ylmbb5t (pdf) As the Senate Environment and Public Works Committee hosts a series of hearings this week on climate change legislation, Adele Morris discusses the likely distributional implications of a U.S. cap-and-trade system. She explains how policy-makers could manage these implications by altering the way in … Continue reading »

Hidden Costs of Energy: Unpriced Consequences of Energy Production and Use

National Academy Press http://www.nap.edu/catalog.php?record_id=12794 [Press release]  A report just released by the National Academies of Science estimates the “hidden” costs of energy production and use. These costs, which include human health effects, physical damages to buildings and other structures, and reduction in grain crop harvests caused by air pollution are not reflected in market prices … Continue reading »

Climate Change and the Economics of Targeted Mitigation in Sectors with Long-lived Capital Stock

World Bank / by Zmarak Shalizi and Franck Lecocq http://tinyurl.com/yhdpr7a [Abstract] Mitigation investments in long-lived capital stock (LLKS) differ from other types of mitigation investments in that, once established, LLKS can lock-in a stream of emissions for extended periods of time. Moreover, historical examples from industrial countries suggest that investments in LLKS projects or networks … Continue reading »