TY - JOUR
T1 - Some inconvenient truths about climate change policy
T2 - The distributional impacts of transportation policies
AU - Holland, Stephen P.
AU - Hughes, Jonathan E.
AU - Knittel, Christopher R.
AU - Parker, Nathan C.
N1 - Publisher Copyright:
© 2015 The President and Fellows of Harvard College and the Massachusetts Institute of Technology 2015.
PY - 2015/12/1
Y1 - 2015/12/1
N2 - Climate policy has favored costly measures that implicitly or explicitly subsidize lowcarbon fuels.We simulate four transportation sector policies: cap and trade (CAT), ethanol subsidies, a renewable fuel standard (RFS), and a lowcarbon fuel standard. Our simulations confirm that alternatives to CAT are 2.5 to 4 times more costly but are amenable to adoption due to right-skewed distributions of gains. We analyze voting on the Waxman-Markey (WM) CAT bill. Conditional on a district's CAT gains, a district's RFS gains are negatively correlated with the likelihood of voting for WM. Our analysis supports campaign contributions as a partial mechanism.
AB - Climate policy has favored costly measures that implicitly or explicitly subsidize lowcarbon fuels.We simulate four transportation sector policies: cap and trade (CAT), ethanol subsidies, a renewable fuel standard (RFS), and a lowcarbon fuel standard. Our simulations confirm that alternatives to CAT are 2.5 to 4 times more costly but are amenable to adoption due to right-skewed distributions of gains. We analyze voting on the Waxman-Markey (WM) CAT bill. Conditional on a district's CAT gains, a district's RFS gains are negatively correlated with the likelihood of voting for WM. Our analysis supports campaign contributions as a partial mechanism.
UR - http://www.scopus.com/inward/record.url?scp=84949786616&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=84949786616&partnerID=8YFLogxK
U2 - 10.1162/REST_a_00452
DO - 10.1162/REST_a_00452
M3 - Article
AN - SCOPUS:84949786616
SN - 0034-6535
VL - 97
SP - 1052
EP - 1069
JO - Review of Economics and Statistics
JF - Review of Economics and Statistics
IS - 5
ER -