Reconciling Climate Change and Trade Policy
Mattoo, Aaditya et al.
Center for Global Development, Working Paper #189, November 10, 2009, online edition, 45p (PDF)
"There is growing clamor in industrial countries for additional border taxes on imports from countries with lower carbon prices. A key factor affecting the impact of these taxes is whether they are based on the carbon content of imports or the carbon content in domestic production. The study estimates suggest that the former action when applied to all merchandise imports would address competitiveness and environmental concerns in high income countries but with serious consequences for trading partners."
Aaditya Mattoo is lead economist in the Development Research Group of the World Bank.
Go to the report at:
http://www.cgdev.org/content/publications/detail/1423204/
D8/06-09 Posted December 8, 2009
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