Border Tax Adjustment: A feasible way to support stringent emission trading

Journal article


Publication Details

Author(s): Ismer R, Neuhoff K
Journal: European Journal of Law and Economics
Publisher: Springer Verlag (Germany)
Publishing place: European Journal of Law and Economics 24 (2007): 137-164
Publication year: 2007
Volume: 24
Journal issue: 2
Pages range: 137-164
ISSN: 0929-1261


Abstract


CO2 emission allowances help to internalise effects of fossil fuel consumption on global climate and sea levels. However, consumption, production and investment decisions do not reach the optimal allocation when the scheme is only implemented in some countries. Production with inefficient facilities in non-participating countries may even increase. Border tax adjustment (BTA) for costs incurred from procuring CO2 emission allowances reduces the leakage. We show that BTA can be both feasible and compatible with World Trade Organization (WTO) constraints. Practicable implementability requires a focus on CO2 emissions from certain processed materials and a separate treatment of electric energy input. © 2007 Springer Science+Business Media, LLC.



FAU Authors / FAU Editors

Ismer, Roland Prof. Dr.
Lehrstuhl für Steuerrecht und Öffentliches Recht


External institutions
Technische Universität Berlin


How to cite

APA:
Ismer, R., & Neuhoff, K. (2007). Border Tax Adjustment: A feasible way to support stringent emission trading. European Journal of Law and Economics, 24(2), 137-164. https://dx.doi.org/10.1007/s10657-007-9032-8

MLA:
Ismer, Roland, and Karsten Neuhoff. "Border Tax Adjustment: A feasible way to support stringent emission trading." European Journal of Law and Economics 24.2 (2007): 137-164.

BibTeX: 

Last updated on 2018-10-08 at 23:42