Governments support the green transition through green public procurement. Using US data, this paper provides the first empirical analysis of the causal effects of green contracts on corporate greenhouse gas emissions and economic performance. We focus on an affirmative program for sustainable...

We study how international environmental agreements can take advantage of domestic time-inconsistency problems. Policymakers often prefer future policies to be sustainable, but are tempted to invest less when being in office. We find the equilibrium number of signatory countries to be higher...

By affecting prices and thereby market shares of green and brown firms, product innovations and process innovations influence industry emissions even when they do not directly affect the emission intensity of the innovating firm. Using a differentiated two-stage duopoly, this paper therefore...

We empirically examine the impact of carbon pricing on key macroeconomic variables and inclusive development with a newly compiled panel dataset covering 48 countries from 1989 to 2024. Using the local-projection difference-in-differences approach, we find that the introduction of carbon pricing...

Since agriculture is responsible for a considerable share of anthropogenic greenhouse gas emissions (GHGE), this paper examines the impact of various carbon taxes designed to incentivize environmentally friendly food consumption patterns in four European countries: Finland, Italy, Sweden, and...

When faced with making economic trade-offs between lower upfront purchase costs and lower operating costs, many consumers experience “capital bias”, a phenomenon that is tantamount to discounting future costs excessively. Consumers may therefore end up with investments that are sub-optimal...

The study aimed to analyse the impact of adaptive natural resource management on the sustainable economic development of Ukraine. Specifically, it focused on the challenges the country faces in adapting to changing environmental conditions and the strategies needed to overcome these barriers to...

By affecting prices and thereby market shares of green and brown firms, product innovations and process innovations influence industry emissions even when they do not directly affect the emission intensity of the innovating firm. Using a differentiated two-stage duopoly, this paper therefore...

Background: Environmental responsibility is a critical focus in business and production. International partners have urged Thai businesses to adhere to global standards in environmental and social accountability. Green logistics management focuses on minimizing costs and boosting competitive...

This paper evaluates the aggregate impact of air pollution regulations introduced by the US Environmental Protection Agency in the early 2000s. We first provide regression evidence on the regulations' effects across industries and local labor markets. We then use these results to calibrate a...

Excess clothing consumption severely harms the environment, through greenhouse gas emissions, resource degradation and water pollution. For consumers, however, the trade-off between this environmental impact and the convenience of "fast fashion" is hidden at the point of purchase. We present a...

Expanding on a general equilibrium model of offshoring, we analyze the effects of a unilateral emissions tax increase on the environment, income, and inequality. Heterogeneous firms allocate labor across production tasks and emissions abatement, while only the most productive can benefit from...

This paper shows how to combine microeconometric evidence on the effects of environmental policy with a macroeconomic model, accounting for general equilibrium spillovers that have mostly been ignored in the literature. To this end, we study the effects of a recent US air pollution policy. We...

The tax incidence is central to the effectiveness of taxation. In this paper, I examine the pass-through rate of an air passenger tax to airfares. Additionally, I analyse its impact on passenger numbers, air transport capacity, and the interaction with supply and demand elasticity. For...

In this paper, we discuss how environmental damage and emission reduction policies affect the conduct of monetary policy in a two-sector (clean and dirty) dynamic stochastic general equilibrium model. In particular, we examine the optimal response of the interest rate to changes in sectoral...

Governments can support the green transition through green public procurement. Despite its strategic importance, the impact of this policy on firms remains unclear. Using US data, this paper provides the first empirical analysis of the causal effects of green contracts on corporate environmental...

This article explores the effects of including environmental provisions (EPs) in preferential trade agreements (PTAs) on climate change mitigation. It further examines whether the effects depend on the heterogeneity of the EPs. We exploit a panel dataset of the climate change performance index...

Environmental policies are often accompanied by exemptions for energy-intensive and trade-exposed industrial firms to avoid leakage from regulated to unregulated jurisdictions. This paper investigates the impact of a large electricity tax exemption on production levels, employment, and input...