Access

You are not currently logged in.

Access JSTOR through your library or other institution:

login

Log in through your institution.

Journal Article

The Economic and Environmental Implications of the US Repudiation of the Kyoto Protocol and the Subsequent Deals in Bonn and Marrakech

Andreas Löschel and ZhongXiang Zhang
Weltwirtschaftliches Archiv
Bd. 138, H. 4 (2002), pp. 711-746
Published by: Springer
Stable URL: http://www.jstor.org/stable/40440917
Page Count: 36
Were these topics helpful?
See something inaccurate? Let us know!

Select the topics that are inaccurate.

  • Download ($43.95)
  • Add to My Lists
  • Cite this Item
The Economic and Environmental Implications of the US Repudiation of the Kyoto Protocol and the Subsequent Deals in Bonn and Marrakech
Preview not available

Abstract

Taking account of sinks credits as agreed in Bonn and Marrakech, this paper illustrates how market power could be exerted in the absence of the US ratification under Annex 1 emissions trading and explores the potential implications of the non-competitive supply behavior for the international market of tradable permits, compliance costs for the remaining Annex 1 countries and the environmental effectiveness. The results show that the US withdrawal from the Kyoto Protocol leads to no real emission reduction in all remaining Annex 1 regions. The results also indicate that the overall compliance costs of all remaining Annex 1 regions in the case of the former Soviet Union (FSU) cooperating with the Eastern European countries could reach as much as two times that in the case of only FSU acting as a monopoly. Moreover, curtailing permit supply by market power substantially increases the overall environmental effectiveness, although to much less extent than in the case of the US ratification. A Monte Carlo simulation supports the robustness of our quantitative findings.

Page Thumbnails

  • Thumbnail: Page 
[711]
    [711]
  • Thumbnail: Page 
712
    712
  • Thumbnail: Page 
713
    713
  • Thumbnail: Page 
714
    714
  • Thumbnail: Page 
715
    715
  • Thumbnail: Page 
716
    716
  • Thumbnail: Page 
717
    717
  • Thumbnail: Page 
718
    718
  • Thumbnail: Page 
719
    719
  • Thumbnail: Page 
720
    720
  • Thumbnail: Page 
721
    721
  • Thumbnail: Page 
722
    722
  • Thumbnail: Page 
723
    723
  • Thumbnail: Page 
724
    724
  • Thumbnail: Page 
725
    725
  • Thumbnail: Page 
726
    726
  • Thumbnail: Page 
727
    727
  • Thumbnail: Page 
728
    728
  • Thumbnail: Page 
729
    729
  • Thumbnail: Page 
730
    730
  • Thumbnail: Page 
731
    731
  • Thumbnail: Page 
732
    732
  • Thumbnail: Page 
733
    733
  • Thumbnail: Page 
734
    734
  • Thumbnail: Page 
735
    735
  • Thumbnail: Page 
736
    736
  • Thumbnail: Page 
737
    737
  • Thumbnail: Page 
738
    738
  • Thumbnail: Page 
739
    739
  • Thumbnail: Page 
740
    740
  • Thumbnail: Page 
741
    741
  • Thumbnail: Page 
742
    742
  • Thumbnail: Page 
743
    743
  • Thumbnail: Page 
744
    744
  • Thumbnail: Page 
745
    745
  • Thumbnail: Page 
746
    746
Part of Sustainability