Benefits and costs to China of a climate policy1
In future agreements to cut greenhouse gases, a Chinese commitment will probably be essential. Committing for China is easier if the cost is low and the benefit to China is high. Using a new CGE-model of the Chinese economy we discuss the cost and benefit to China of taking on a climate commitment....
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Veröffentlicht in: | Environment and development economics 2007-06, Vol.12 (3), p.471 |
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creator | AUNAN, KRISTIN Berntsen, Terje O'Connor, David Persson, Therese Hindman VENNEMO, HAAKON Zhai, Fan |
description | In future agreements to cut greenhouse gases, a Chinese commitment will probably be essential. Committing for China is easier if the cost is low and the benefit to China is high. Using a new CGE-model of the Chinese economy we discuss the cost and benefit to China of taking on a climate commitment. We argue that a climate commitment gives significant ancillary benefits to China since associated particle and NOx-reductions improve public health and increase agricultural yields. The model of impact on agricultural yields is a novel feature of CGE-models. Comparing benefits to economic costs produces striking results. We find that China may reduce its CO2-emissions by 17.5 per cent without suffering a welfare loss. Half of the benefit originates in the novel agricultural model. We also discuss the distributional impact of a climate commitment. In general the distributional impact is not averse. [PUBLICATION ABSTRACT] |
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Committing for China is easier if the cost is low and the benefit to China is high. Using a new CGE-model of the Chinese economy we discuss the cost and benefit to China of taking on a climate commitment. We argue that a climate commitment gives significant ancillary benefits to China since associated particle and NOx-reductions improve public health and increase agricultural yields. The model of impact on agricultural yields is a novel feature of CGE-models. Comparing benefits to economic costs produces striking results. We find that China may reduce its CO2-emissions by 17.5 per cent without suffering a welfare loss. Half of the benefit originates in the novel agricultural model. We also discuss the distributional impact of a climate commitment. In general the distributional impact is not averse. 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source | PAIS Index; JSTOR Archive Collection A-Z Listing; Cambridge University Press Journals Complete |
subjects | Air pollution Carbon dioxide Climate Climate change Economic impact Economic models Emissions Emissions control Environmental policy Farm buildings Greenhouse effect Greenhouse gases Outdoor air quality Public health Studies |
title | Benefits and costs to China of a climate policy1 |
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