climate policy addressing global externalities. The debate is particularly salient in Europe, where the EU Emissions … TradingSystem (EU ETS) covers emissions of many traded sectors. In a first step, we review how carbon leakage and the pollution … introduced by the EU ETS has caused carbon leakage in European manufacturing. We compute trade flows in embodied carbon and value …

Ambitious unilateral EU environmental policy has raised concerns about adverse competitiveness implications for … measures to address these concerns in the EU Emission Trading Scheme (EU ETS): border tax adjustments (BTA) and the Clean … policy on energy-intensive and export-oriented industries. The regulatory protection of these industries via subsidies for EU …

Environmental protection is one of Europe's key values. The EU has set clear policy objectives to achieve its … environmental goals. The EU has favoured market-based instruments, among which fiscal instruments to tackle the climate change …

This paper analyzes the impact of the EU ETS on CO₂ reduction in the German electricity sector. We find an ETS … of the EU ETS caused by excessive allowances. Following up on this we develop a unilateral flexible cap to eliminate … significantly lowered with a unilateral flexible cap. This approach also decouples the EU ETS from a simultaneous promotion of …

The EU Emission Trading Scheme (EU ETS) for CO2-emissions from energy and industry installations reflects a paradigm … shift towards market-based in-struments for environmental policy in the EU. The centerpieces of the EU ETS are National …-2012) of the EU ETS. At the macro level, we assess whether the submitted ET-budgets are stringent, and whether they imply a …