This paper develops a forward-looking, dynamic general equilibrium model with imperfect competition to study the welfare (sectoral and aggregate) effects of Canada's compliance to the Kyoto Protocol. In particular, it introduces a Chamberlinian competition framework in the analysis in order to capture firms' departure from marginal-cost pricing. It analyzes both the long-term and the transitional effects of the Protocol in Canada by using a national carbon emission permit scheme for fossil fuel use as the cost-effective policy instrument required to achieve the desired level of carbon emissions. It assesses the underestimation of the welfare and GDP losses, if any, associated with the assumption of perfect competition in all markets.

This thoroughly revised third edition offers comprehensive coverage of the economics of climate change and climate policy, and is a suitable guide for advanced undergraduate, postgraduate, and doctoral students. Topics discussed include the costs and benefits of adaptation and mitigation, discounting, uncertainty, equity, policy instruments, the second best, and international agreements.

Land has long been overlooked in economics. That is now changing. A substantial part of the solution to the climate crisis may lie in growing crops for fuel and using trees for storing carbon. This book investigates the potential of these options to reduce greenhouse gas emissions, estimates the costs to the economy, and analyses the trade-offs with growing food. The first part presents new databases that are necessary to underpin policy-relevant research in the field of climate change while describing and critically assessing the underlying data, the methodologies used, and the first applications. Together, the new data and the extended models allow for a thorough and comprehensive analysis of a land use and climate policy. This book outlines key empirical and analytical issues associated with modelling land use and land use change in the context of global climate change policy. It places special emphasis on the economy-wide competition for land and other resources, especially; The implications of changes in land use for the cost of climate change mitigation, Land use change as a result of mitigation, and Feedback from changes in the global climate to land use. By offering synthesis and evaluation of a variety of different approaches to this challenging field of research, this book will serve as a key reference for future work in the economic analysis of land use and climate change policy.

This unique and erudite second edition can be used at three different levels – advanced undergraduate, post-graduate and doctoral. It comprehensively covers the critical issues on the economics of climate change and climate policy features and clearly identifies the specific sections each level of reader should explore. Topics include the costs and benefits of adaptation and mitigation, discounting, uncertainty, policy instruments, and international agreements. Lectures can be combined with exercises, guided reading, or the building and application of an integrated assessment model. The book is accompanied by a website with background material, data, opinion pieces and videos. Although primarily intended for use in the classroom, anyone with an interest in climate policy can use this text as a reference.