Working Paper: NBER ID: w18214
Authors: Lee G. Branstetter; William A. Pizer
Abstract: Over the past two decades, the international community has struggled to deal constructively with the problem of mitigating climate change. This is considered by many to be the preeminent public policy challenge of our time, but actual policy responses have been relatively modest. This essay provides an abbreviated narrative history of international policy in this domain, with a special emphasis on aspects of the problem, proposed solutions, and unresolved issues that are of interest to international economists and informed observers of the global economic system. We also discuss the potential conflict that could emerge between free trade principles on the one hand and environmental policy objectives on the other.
Keywords: No keywords provided
JEL Codes: F18; F55; Q54
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| anthropogenic GHG emissions (Q54) | changes in the Earth’s climate system (Q54) |
| changes in the Earth’s climate system (Q54) | negative economic impacts (F69) |
| GHG emissions (Q54) | climate change (Q54) |
| climate change (Q54) | economic policies (E69) |
| climate change (Q54) | international trade dynamics (F10) |
| lack of binding commitments for developing countries (F35) | emissions leakage (F64) |
| emissions leakage (F64) | production moves to countries with less stringent regulations (F64) |
| political systems struggle (P39) | long-term environmental issues (Q56) |
| economic growth in developing countries (O54) | prioritization over emissions reductions (Q58) |
| fiscal constraints in developed countries (H60) | limitation on support for mitigation efforts in developing nations (F35) |
| imposition of carbon tariffs (F38) | response to climate change dynamics (Q54) |