Working Paper
Going Full Circle: Demand-Side Constraints to the Green Paradox
Corrado Di Maria, Ian A. Lange, Edwin van der Werf
CESifo, Munich, 2013
CESifo Working Paper No. 4152
CESifo, Munich, 2013
CESifo Working Paper No. 4152
We argue that the literature on the green paradox has largely ignored the demand side of the resource market, and that this side of the market may mitigate the size of an emissions increase in response to imperfect climate policies. These claims are informed by recent empirical findings. Our arguments lead to clear policy recommendations.
CESifo Category
Energy and Climate Economics
Resources and Environment
Energy and Climate Economics
Resources and Environment
Keywords: green paradox, climate policy, demand side response
JEL Classification: Q310, Q380, Q580