Aichele, Rahel; Felbermayr, Gabriel - 2010
A unilateral tax on CO2 emissions may drive up indirect carbon imports from non-committed countries, leading to carbon … leakage. Using a gravity model of carbon trade, we analyze the effect of the Kyoto Protocol on the carbon content of bilateral … affect carbon trade. On average, the Kyoto protocol led to substantial carbon leakage but its total effect on carbon trade …