ISSN 2096-2533

CN 42-1881/F



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发布时间:2020-12-31作者:诸思齐 蔡晶晶浏览次数:47

诸思齐  蔡晶晶


Does Pre-announced Emission Reduction Policies Lead to Green Paradox? An Empirical Study Based on EU ETS


Zhu Siqi and Cai Jingjing





Abstract: Green Paradox points out that sometimes government policies to reduce emissions can backfire on greenhouse gas emissions because of dynamic supply-side responses from forward-looking producers. In this paper, we compare the differences in the fossil fuel share and carbon dioxide emissions between EU15 and other countries during the transition period by using a difference-in-difference model based on the time difference between European countries joining the ETS. The regression results show that the share of fossil fuels in gross available energy increased by 2.116% on average compared with other European countries after the announcement of Directive Proposal in 2001, and carbon dioxide emissions from fossil fuels increased by 10.02 million tons, providing supporting evidence for the existence of weak green paradox. This reminds policy makers to systematically consider the supply-side and demand-side responses and consciously combine policy tools to curb the negative effects of the green paradox.

Keywords: Green Paradox; EU ETS; Difference-in-difference; Emission Reduction Policy






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