A global overview of carbon leakage
The world counts carbon emissions by country where fuels are combusted, i.e. where the CO2 is emitted. A new study shows how great the differences are when we count products consumed. Craig Morris takes a closer look at how Germany, the UK, Russia, China and France fared in the study. Carbon leakage and carbon shifting are two terms that essentially indicate a situation in which carbon emissions move from one country to another. The outcome can be desired; under emissions trading platforms, countries and market players are encouraged to shift their emissions to where avoidance is less expensive. But the terms are frequently used to show a shortcoming in the way we count carbon emissions: China, for instance, is increasing its emissions largely because it makes products consumed in affluent countries. If they did not consume so much, the argument goes, China would not emit so much. So who is responsible for what part of whose emissions? I’m not going to try to answer that question for you today, but merely point out the new … Continue reading A global overview of carbon leakage
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