response to the threat of emissions leakage. Border carbon adjustments and output-based allocation of emissions allowances can …

: border adjustments and output-based allocation, i.e. allocation of free allowances in proportion to current production. We … sector and output-based allocation in exposed industries, especially if free allowances are given both for direct and … indirect emissions, i.e. those generated by the generation of the electricity consumed. Although output-based allocation is …

of a global carbon tax and of border carbon adjustments, output-based allocation is a third-best solution and is actually … in a formal setting and shows that the optimal one is in fact a combination of both schemes, or output-based allocation …

, grandfathering schemes, and output-based allocation (OBA) schemes. We further extend the model by examining a combination of auctions …