The Economics of Climate Change Policy

This important collection embodies the author's pioneering and on-going efforts to incorporate equity and efficiency principles into the economics of climate change policy. It represents a valuable compendium of work, both previously published and original, the range of which is not otherwise readily accessible. Adam Rose was one of the first both to identify the central role of equity among nations and regions in addressing greenhouse gas (GHG) mitigation and to quantify many equity principles so that they could be incorporated into formal models. Comprising classic explorations into GHG emission trading design with respect to burden-sharing, borrowing and banking, and political constraints, the papers contained in this volume provide guidance on coalition choices for individual states of the US and partnership choices for developing countries involved in the Clean Development Mechanism today and in emission allowance trading in the future. The impacts of mitigation policy across industries and socioeconomic groups are also analysed, using computable general equilibrium models to examine the economic implications of carbon taxes, fuel taxes, tradable emission permits, and strict regulation. In addition, the book establishes a firm grounding for policy analysis by providing a basic understanding of the carbon cycle, drivers of GHG emissions, and some economic impacts of climate change. The Economics of Climate Change Policy will be of great interest and value to academics and students of environmental economics and policy and will be welcomed by environmental policy-makers involved in climate change issues at the local, regional, national and international level.