Governments across the globe are implementing stricter environmental policies to combat climate change and promote sustainability. This study contributes to the growing literature exploring the influence of environmental policy on skill-biased employment across various occupations. Specifically,...

In this paper, we compare the economic and welfare implications of two carbon pricing policies, namely the European Cap and Trade (CaT) regime and the Chinese Tradeable Performance Standard (TPS). The former sets an economy-wide emissions target and forces firms to purchase sufficient...

Environmental regulations have been extensively studied in the context of advocating green development. As one of the most stringent laws in history, the new Environmental Protection Law (EPL) of 2015 has greatly affected the production and development of enterprises. In this context, and in the...

This paper analyzes compliance with emission regulations, focusing on investment in innovation and cheating as primary strategies. Firms prioritize developing a truly compliant technology but may activate a cheating device depending on the outcome of innovation, the monitoring system in place,...

When environmental regulations are unpopular, policymakers often attribute resistance to information frictions and poor communication. We test this idea in the context of a major climate policy: Germany’s Heating Law of 2023, which mandates the phase-out of fossil fuel heating. Through a...