Abstract
We propose a new method for standardizing the production technology at the world average level and derive interpretations for the resulting carbon emission concepts. The technology-adjusted emission balance measures net weak carbon leakage defined as the difference between the foreign emissions avoided by exports and the foreign emissions generated by imports. We use global multi-regional input–output tables to document the variable’s spatio-temporal variation for 49 economies between 1995 and 2015. There is a positive cross-country correlation between net leakage and per-capita income. Changes in net leakage are generally small and do not account for country-specific emission trends, that is, domestic emission decreases were not offset by foreign emission increases.
Original language | English |
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Pages (from-to) | 65-98 |
Number of pages | 34 |
Journal | Environmental and Resource Economics |
Volume | 84 |
Issue number | 1 |
DOIs | |
Publication status | Published - 2022 |
Keywords
- Carbon
- Climate change
- CO2
- Decoupling
- Displacement
- Emissions
- Global value chains
- Input–output
- Leakage
- Offshoring
- Outsourcing
- Trade