Global Warming and R&D-Based Growth in a Trade Model between Environmentally Sensitive and Environmentally Neglectful Countries

  1. Cabo, Francisco 2
  2. Martín-Herrán, Guiomar 2
  3. Martínez-García, María Pilar 1
  1. 1 Universidad de Murcia
    info

    Universidad de Murcia

    Murcia, España

    ROR https://ror.org/03p3aeb86

  2. 2 Universidad de Valladolid
    info

    Universidad de Valladolid

    Valladolid, España

    ROR https://ror.org/01fvbaw18

Libro:
The Oxford Handbook of the Macroeconomics of Global Warming

Ano de publicación: 2015

Páxinas: 222-247

Tipo: Capítulo de libro

DOI: 10.1093/OXFORDHB/9780199856978.013.0010 GOOGLE SCHOLAR lock_openAcceso aberto editor

Resumo

The chapter analyzes a bipolar world in which one region disregards global warming, while the other acknowledges the two-sided link between production and the emissions and concentration of pollutants in the atmosphere. Productive activities are negatively affected by global warming, provoke emissions, and make use of intermediate inputs and forest products as inputs. The environmentally unconcerned forest region trades forest products in exchange for technology developed in the environmentally concerned technology leading region. Trade is the transmission channel for economic growth. Trade also serves to transmit the willingness to reduce emissions from the environmentally concerned region to the unconcerned region, so turning around the carbon leakage problem. Furthermore, a global reduction in emissions does not necessarily lead to a reduction in the speed of growth.