Publication:
Trade, Outsourcing, and the Environment

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dc.contributor.authorArtuc, Erhan
dc.contributor.authorKonstantin, Sommer
dc.date.accessioned2024-01-22T16:58:00Z
dc.date.available2024-01-22T16:58:00Z
dc.date.issued2024-01-22
dc.description.abstractThis paper analyzes the effects of carbon taxation and border carbon adjustments in a setting where firms can choose to respond to taxation by abating or by outsourcing part of their production. For this, this paper sets up a general equilibrium trade model, calibrated with world trade and input-output data that features a discrete choice production structure, where the producers choose between outsourcing or abating emission-intensive intermediate production steps. The paper finds that border adjustments that cannot target scope 3 emissions can lead to outsourcing, and thus leakage, further down the value chain, but nevertheless induce higher abatement both in the countries that impose the border adjustment and in the ones affected by it.en
dc.identifierhttp://documents.worldbank.org/curated/en/099321301112414585/IDU1e2f5c11c11f0614c5c19f511696a41248dec
dc.identifier.doi10.1596/1813-9450-10665
dc.identifier.urihttps://openknowledge.worldbank.org/handle/10986/40931
dc.languageEnglish
dc.language.isoen
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper; 10665
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttps://creativecommons.org/licenses/by/3.0/igo/
dc.subjectBORDER CARBON ADJUSTMENT
dc.subjectENVIRONMENT AND TRADE
dc.subjectCARBON TAX
dc.subjectCARBON TARIFFS
dc.subjectCO2 EMISSION LEAKAGE
dc.subjectENVIRONMENTAL POLICY
dc.titleTrade, Outsourcing, and the Environmenten
dc.typeWorking Paper
dspace.entity.typePublication
okr.associatedcontenthttps://reproducibility.worldbank.org/index.php/catalog/98 Link to data and reproducibility package
okr.crossref.titleTrade, Outsourcing, and the Environment
okr.date.disclosure2024-01-11
okr.date.lastmodified2024-01-12T00:00:00Zen
okr.doctypePolicy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/099321301112414585/IDU1e2f5c11c11f0614c5c19f511696a41248dec
okr.guid099321301112414585
okr.identifier.docmidIDU-e2f5c11c-1f06-4c5c-9f51-696a41248dec
okr.identifier.doi10.1596/1813-9450-10665
okr.identifier.doihttp://dx.doi.org/10.1596/1813-9450-10665
okr.identifier.externaldocumentum34236745
okr.identifier.internaldocumentum34236745
okr.identifier.reportWPS10665
okr.import.id2891
okr.importedtrueen
okr.language.supporteden
okr.pdfurlhttp://documents.worldbank.org/curated/en/099321301112414585/pdf/IDU1e2f5c11c11f0614c5c19f511696a41248dec.pdfen
okr.region.geographicalWorld
okr.topicEnvironment::Carbon Policy and Trading
okr.topicLaw and Development::Tax Law
okr.topicInternational Economics and Trade::Trade and Environment
okr.unitDECRG: Trade & Intl. Integration (DECTI)
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
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