Rübbelke, Dirk T. G. Mukherjee, Vivekananda Sanyal, Tilak
Year of Publication:
Nota di lavoro // Fondazione Eni Enrico Mattei: Sustainable development 78.2008
The paper considers a situation where two countries - the North and the South - use a non-traded polluting input to produce the goods for final consumption. The North is more efficient in both, production and abatement processes. The study compares the effects of the transfer of abatement technology by the North to the South under autarky with the free trade situation, assuming that the North pre-commits to an international protocol to keep the global pollution under a fixed level. The conditions under which either full or partial technology is transferred in autarky are determined. It is shown that under free trade no such transfer is possible. With trade even though the North wants a complete transfer of technology, the South refuses it.
GHG Emissions Mitigation Technology Transfer International Trade