Various stakeholders are increasingly encouraging companies from the real economy to adopt measures facilitating their transition towards carbon neutrality. In this context, companies are expected to implement forward-looking strategies and climate-related reporting practices using scenario...

As climate changes and natural disasters intensify, the threat of human displacement increases. This paper studies carbon taxation in the presence of international climate displacement. After providing evidence on the migration response to disasters, forced climate migration is introduced into a...

Lowering carbon intensity in manufacturing is necessary to transform current production technologies. We test if local agents’ preferences, revealed by vote shares for the Green party during local elections in Germany, relate to the carbon intensity of investments in production technologies....

Geopolitics is an overarching characteristic of much of this outlook for the key themes in the global energy economy in 2025. The start of Donald Trump’s second term in the White House will herald new pressures to multiple layers of the global economy, from trade to labour, monetary policy to...

We examine the relationship between capital structure and carbon intensity in manufacturing firms using a novel dataset that combines information from the EU Emission Trading System with firm-level financial accounts. Our findings indicate that higher financial leverage is associated with lower...

Nitrogen fertilizer is essential for boosting agricultural yields and food production. However, agricultural subsidies often drive the inefficient application of fertilizer, leading to significant costs for farms, the environment, and economies. Scientific evidence indicates that nitrogen...

This note describes Carbon Monitor Cities 2.0, a new approach to near-real-time monitoring of city-level greenhouse gas emissions from various sectors without the need for local data collection. With support from the City Climate Finance Gap Fund, the World Bank piloted this approach for 11...

We investigate whether climate activism favors pro-environmental consumption by examining the impact of Fridays for Future (FFF) protests in Italy on second-hand automobile sales in rally-affected areas. Leveraging data on 10 million automobile transactions occurring before and after FFF...

This paper explores the global economic and climate spillovers of the European Union Emissions Trading System (EU ETS), leveraging exogenous variations in carbon prices identified through a carbon policy surprise series. Findings reveal that higher EU carbon prices lead to significant and...

This document is part of a series presenting information and lessons learned on policy approaches at national, regional or local level supporting a just transition to a climate-neutral economy. The Just Transition Platform (JTP) assists EU Member States and regions to unlock the support in this...

This document is part of a series presenting information and lessons learned on policy approaches at national, regional or local level supporting a just transition to a climate-neutral economy. The Just Transition Platform (JTP) assists EU Member States and regions to unlock the support in this...

This edition of the Global Energy and Climate Outlook (GECO 2024), in its 10th year of publication, presents an updated view of the implications of energy and climate policies worldwide, finding that the world is still not on track to achieve its climate targets, as both implementation gaps...

We study optimal monetary policy in an analytically tractable New Key-nesian DSGE-model with an emission externality. Empirically, emissions are strongly pro-cyclical and output in the flexible price equilibrium overreacts to productivity shocks, relative to the efficient allocation. At the same...

Cap-and-trade regulation is a strategy to reduce carbon emissions (CEs). During production, CEs are reduced by green technology. In a dual-channel supply chain (DCSC), customers try a product at an offline store but purchase it online (showrooming effect). Additionally, using internet...

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...

In this research, the direct and indirect effects of foreign direct investment (FDI) inflows on carbon dioxide (CO2) emissions in India are examined, covering the period from 1980 to 2014. To quantify the indirect outcome of the existence of FDI on CO2 emissions, in this study, the three...

Technology transfer represents a critical avenue for addressing the challenges associated with carbon emission reduction, warranting thorough investigation into the effects of both domestic and international technology transfer on carbon emissions. This study employs data mining techniques to...