While the EU-wide carbon price has already been adopted for the buildings and transport sectors with ETS°2, detailed analyses of the macroeconomic and distributional effects (both within and between countries) are scarce. We use the macroeconomic model ADAGIO to estimate the effects of EU-wide...

To identify the households most affected by a carbon tax I set up a multi-sector model with putty-clay technology. A $100-per-ton carbon tax cuts emissions by 25% after 5 years, but reduces output by 3% in the short run and 4% in the long run. Initially, the tax is progressive despite poorer...

Consumer decisions are essential in reducing CO2 emissions released by human activities. Climate policies aimed at reducing consumers' carbon footprint require societal embrace and leaving no one behind; however, they often negatively affect low-income families and rural households with limited...

We introduce a novel static indicator of economy-wide resilience that assesses an economy’s ability to adapt and recover from negative shocks originating from either the demand or supply side. This metric is counterfactual and, through simulation, reveals the extent of adjustments required to...

Input-output multipliers are typically calculated as point estimates of the Leontief quantity model. From the previous literature, they can also be estimated (and their confidence intervals) directly from establishments'/industries' inputs and outputs data by running an appropriate econometric...