9 results found
WBG   |  
St. Lucia: Climate Change Policy Assessment

St. Lucia has been a leader among vulnerable Caribbean states in prioritizing a response to climate change, both nationally and in international fora. Its Nationally Determined Contribution (NDC) outlines a balanced mitigation strategy backed by costed investment plans, and a qualitative adaptation strategy with identified priority sectors. This paper takes stock of St. Lucia’s plans to manage climate change, from the perspective of their macroeconomic implications.

Category:  Fiscal Instruments for Climate Policy, Macroeconomics of Climate Change, Climate Change Fiscal Risk Assessments and Management, Public Financial Management

WBG, PMR   |  
Carbon Tax Guide: A Handbook for Policy Makers (2017)

This Guide has a dual purpose: (i) to provide policy makers and other policy leaders and influencers with a practical tool to help them determine whether a carbon tax is the right instrument to achieve their policy aims; and (ii) to support them in designing and implementing the carbon tax best suited to their specific needs, circumstances, and objectives.

Category:  Fiscal Instruments for Climate Policy, Distribution, Competitiveness & Political Economy, Macroeconomics of Climate Change

WBG, PMR   |  
Modeling the Impact on South Africa’s Economy of Introducing a Carbon Tax (2016)

This paper reviews the key findings of a modeling analysis exploring the implications of the South African carbon tax. A carbon tax, in conjunction with the recycling of revenues, has been designed by the National Treasury as one of the key mitigation instruments in helping South Africa meet its international commitments to reduce its greenhouse gas (GHG) emissions by 42 percent relative to business-as-usual by 2025 and for emissions to follow a ‘peak plateau and then decline’ trajectory.

Category:  Fiscal Instruments for Climate Policy, Macroeconomics of Climate Change

WBG, GFDRR   |  
The Indirect Cost of Natural Disasters and an Economic Definition of Macroeconomic Resilience (2015)

The paper proposes a rule of thumb to estimate macroeconomic resilience, based on the interest rate (a higher interest rate decreases resilience and increases welfare losses), the reconstruction duration (a longer reconstruction duration increases welfare losses), and a “ripple-effect” factor that increases or decreases immediate losses (negative if enough idle resources are available to cope; positive if cross-sector and supply-chain issues impair the production of non-affected capital).

Category:  Macroeconomics of Climate Change, Climate Change Fiscal Risk Assessments and Management

WBG, PMR   |  
Carbon Leakage Theory, Evidence and Policy Design

The World Bank’s Partnership for Market Readiness (PMR) brings together developed and developing countries to build readiness for carbon market instruments to support cost-effective greenhouse gas emissions reductions. As part of the PMR’s Technical Work Program, the World Bank asked Vivid Economics to develop a technical note on the issue of carbon leakage and competitiveness. This issue is of interest to a range of PMR countries and is of great importance to successful design and implementation of carbon pricing policies.

Category:  Fiscal Instruments for Climate Policy, Distribution, Competitiveness & Political Economy, Macroeconomics of Climate Change

WBG   |  
Economic Resilience Definition and Measurement (2014)

The (economic) welfare disaster risk in a country can be reduced by reducing the exposure or vulnerability of people and assets (reducing asset losses), increasing macroeconomic resilience (reducing aggregate consumption losses for a given level of asset losses), or increasing microeconomic resilience (reducing welfare losses for a given level of aggregate consumption losses). The paper proposes rules of thumb to estimate macroeconomic and microeconomic resilience based on the relevant parameters in the economy.

Category:  Macroeconomics of Climate Change, Climate Change Fiscal Risk Assessments and Management

WBG   |  
Climate Change and Poverty: An Analytical Framework (2014)

The paper proposes four channels that determine household consumption and through which households may escape or fall into poverty (prices, assets, productivity, and opportunities). It then discusses whether and how these channels are affected by climate change and climate policies, focusing on the exposure, vulnerability, and ability to adapt of the poor (and those vulnerable to poverty). It reviews the existing literature and offers three major conclusions.

Category:  Macroeconomics of Climate Change

WBG   |  
Economic Resilience Definition and Measurement

The (economic) welfare disaster risk in a country can be reduced by reducing the exposure or vulnerability of people and assets (reducing asset losses), increasing macroeconomic resilience (reducing aggregate consumption losses for a given level of asset losses), or increasing microeconomic resilience (reducing welfare losses for a given level of aggregate consumption losses). The paper proposes rules of thumb to estimate macroeconomic and microeconomic resilience based on the relevant parameters in the economy.

Category:  Macroeconomics of Climate Change, Climate Change Fiscal Risk Assessments and Management

WBG   |  
‘Green’ Growth, ‘Green’ Jobs and Labor Markets

The term ‘green jobs’ can refer to employment in a narrowly defined set of industries providing environmental services. But it is more useful for the policy-maker to focus on the broader issue of the employment consequences of policies to correct environmental externalities such as anthropogenic climate change. Most of the literature focuses on direct employment created, with more cursory treatment of indirect and induced job creation, especially that arising from macroeconomic effects of policies.

Category:  Macroeconomics of Climate Change