Allocation of carbon permits within a country: a general equilibrium analysis of the United Kingdom
UNSPECIFIED. (2001) Allocation of carbon permits within a country: a general equilibrium analysis of the United Kingdom. ENERGY ECONOMICS, 23 (4). pp. 371-386. ISSN 0140-9883Full text not available from this repository.
The Kyoto agreement includes international trade in carbon permits from 2008. We have used a CGE model to evaluate methods of allocating permits within the UK. Auctioning is broadly similar to a carbon tax, with revenues recycled to reduce other distortions. 'Grandfathering' some permits free to large firms would mean a loss of recycling and, possibly, give windfall profits to foreigners. Alternatively, regularly revised allocation, using 'best practice' estimates, would be similar to recycling revenue as an output subsidy. Such a system could allow much of the potential 'double dividend' to be realised, though an auction system might still be preferable. (C) 2001 Elsevier Science B.V. All rights reserved.
|Item Type:||Journal Article|
|Subjects:||H Social Sciences > HC Economic History and Conditions|
|Journal or Publication Title:||ENERGY ECONOMICS|
|Publisher:||ELSEVIER SCIENCE BV|
|Official Date:||July 2001|
|Number of Pages:||16|
|Page Range:||pp. 371-386|
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