Managing Openness: Trade and Outward-Oriented Growth after the Crisis

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Trade and Climate Policies after the Crisis

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Figure 23.1. Total and Per Capita Carbon Emissions for the World and Various Regions, 1960–2002 a. CDIAC166 world sample, total

b. CDIAC166 world sample, PCE 1.2

d. US−CA−AUS, OECD-26, BRIC-3, RoW-134, PCE

year BRIC-3

OECD-26

e. World regions, total

year

00 20 00 20

90 19

80 19

19

70

60

6 5 4 3 2 1 0

19

tons per capita

00 20

90 19

80 19

70

RoW-134 f. World regions, PCE

2,500 2,000 1,500 1,000 500 0

19

90

year

US−CA−AUS

ECA

19

80 19

60 19

00 20

90 19

80 19

70 19

19

60

0

70

500

6 5 4 3 2 1 0

19

1,000

60

00

c. US−CA−AUS, OECD-26, BRIC-3, RoW-134, total

1,500

19

20

year

tons per capita

millions (mt)

19

19

00

year

2,000

millions (mt)

90

0.8

20

90 19

80 19

70 19

19

60

2,000

0.9

80

3,000

1.0

19

4,000

1.1

70

5,000

19

6,000

60

tons per capita

millions (mt)

7,000

year NA

EAP and SA

MENA

LAC

SSA

Source: Adapted from Ordás Criado and Grether forthcoming. Note: BRIC-3 = Brazil, China, and India; USA–CA–AUS = United States, Canada, and Australia; OECD-26 = Organisation for Economic Co-operation and Development without Australia, Canada, and the United States; RoW-134 = the remaining countries, hence a total of 3 + 3 + 26 + 134 = 166 countries; ECA = Europe and Central Asia; EAP = East Asia and Pacific; SA = South Asia; MENA = Middle East and North Africa; LAC = Latin America and the Caribbean; SSA = Sub-Saharan Africa; PCE = per capita carbon emissions. Initial data are from the Carbon Dioxide Information Analsysis Center (CDIAC) and reflect anthropogenic emissions from fossil fuel consumption, cement manufacturing, and gas flaring, ignoring fuels supplied to ships and crafts. To convert carbon emissions into CO2 emissions, apply a multiplicative factor of 3.67.

effects to which they will be subject. Third, the investments in green renewable energy called for are long term, and investment decisions are inherently dynamic. The longer action is delayed, the more investment will take place in emission-intensive activities because they will remain relatively more profitable than clean energies. However, the slow pace at which collective action is building indicates that acting rapidly will not happen.2 Because of the magnitude of the problem, mitigating climate change will require action on several fronts:

• Increasing spending on research and development (R&D), both public and private to develop green energies • Combating deforestation, because it is an important source of GHG emissions • Providing aid to support adaptation in the often-hostile environments in less-developed countries • Establishing an effective emission-trading regime when countries choose to reduce emissions by issuing permits, a choice that could be adopted along with a tax and technical regulations in certain sectors.3


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