Domestic and Subnational Climate Policy

Slides [link]


Lecture 1

Domestic Climate Policy

Required Reading

Response questions

  1. How does the Inflation Reduction Act reduce carbon emissions?
  2. This approach differs from the policies we covered in class, namely taxes or cap-and-trade. What do you think the consequences of departing market based climate policy will be? Do you think they will be economically large or small?

Lecture 2

Subnational Climate Policy

Required Reading

Response questions

  1. In the US (and in other countries) climate policy takes place at both the national and subnational (ie state or local) level. According to Goulder and Stavins, when is subnational climate policy “problematic”, and when is it “benign”?
  2. Based on the Sallee blog post, what is the concern about “leakage” in California’s fuel economy standards?

Additional material:


Key Points