Carbon Border Adjustments, Climate Clubs, and Subsidy Races When Climate Policies Vary

Abstract: Jurisdictions adopt heterogeneous climate policies that vary both in terms of ambition and in terms of policy approach, with some jurisdictions pricing carbon and others subsidizing clean production. We distinguish two types of policy spillovers associated with diverse policy approaches to climate change. First, when countries have different levels of climate ambition, free-riders will benefit at the expense of more committed countries. Second, when countries pursue different approaches, carbon-intensive producers within cost-imposing jurisdictions will be at a relative competitive disadvantage compared with producers in subsidizing jurisdictions. Carbon border adjustments and climate clubs are attempts to respond to these policy spillovers, but when countries have divergent policy approaches, one policy alone will not be able to address both types of spillovers. We also consider the policy dynamics that result from carbon border adjustments and climate clubs; both have the potential to encourage upward harmonization of climate policy, but they come with risks. Further, the pressures of international competition in the presence of divergent climate policy approaches may result in subsidy races, which come with their own potential risks and benefits.

Carbon Border Adjustments, Climate Clubs, and Subsidy Races When Climate Policies Vary

Abstract: Jurisdictions adopt heterogeneous climate policies that vary both in terms of ambition and in terms of policy approach, with some jurisdictions pricing carbon and others subsidizing clean production. We distinguish two types of policy spillovers associated with diverse policy approaches to climate change. First, when countries have different levels of climate ambition, free-riders will benefit at the expense of more committed countries. Second, when countries pursue different approaches, carbon-intensive producers within cost-imposing jurisdictions will be at a relative competitive disadvantage compared with producers in subsidizing jurisdictions. Carbon border adjustments and climate clubs are attempts to respond to these policy spillovers, but when countries have divergent policy approaches, one policy alone will not be able to address both types of spillovers. We also consider the policy dynamics that result from carbon border adjustments and climate clubs; both have the potential to encourage upward harmonization of climate policy, but they come with risks. Further, the pressures of international competition in the presence of divergent climate policy approaches may result in subsidy races, which come with their own potential risks and benefits.

This paper introduces the Extraterritorial Rights and Restrictions dataset (EVRR), the first global time-series dataset of non-resident citizen voting policies and procedures. Although there have been previous efforts to document external voting, no existing data source simultaneously captures the scale (195 countries), time frame (71 years), and level of detail concerning extraterritorial voting rights and restrictions (over 20 variables). After a brief overview of prior datasets, we introduce EVRR coding criteria with a focus on conceptual clarity and transparency. Descriptive analysis of the dataset reveals both the steady expansion of extraterritorial voting as well as several regional and temporal trends of voting rights restrictions. Finally, we revisit and extend the work of two groundbreaking cross-national studies focused on the causes and effects of external voting rights. Using EVRR data we demonstrate that including more fine-grained aspects of extraterritorial voting provisions in these analyses improves understanding of important political and economic outcomes.

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Replication Data for: Public Attitudes about Emergent Issues in LGBTQ Rights: Conversion Therapy and Religious Refusals. Contains replication data, scripts for analyses and figures.

The statewide and code are provided to replicate the results in the manuscript. Additionally, a link to the underlying survey data, recodes, and MRP estimation commands are also included.

The inaugural results of a new Gallup question -- posed to more than 120,000 U.S. adults thus far -- shows that 3.4% say "yes" when asked if they identify as lesbian, gay, bisexual, or transgender.