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The European Union’s carbon border mechanism and the WTO

The European Union’s carbon border mechanism and the WTO

According to the World Bank’s Carbon Pricing Dashboard, as of April 2021, 45 countries had in place national or supra-national carbon pricing schemes, in the form of either an emission trading system (ETS) or a carbon tax. Although existing schemes still only cover...

Making sure green household investment pays off

Making sure green household investment pays off

The first stage of decarbonisation in Europe was characterised by incremental improvements in energy efficiency and by replacing fossil fuels in electricity generation. To meet the EU’s ambitious 2030 targets, which will involve a reduction in annual greenhouse-gas...

A fitting plan for the European Green Deal?

On 14 July, the European Commission finally announced a large package of measures that will make the EU the first mover in the race limit global warming, with measures targeting all sectors in a deepening and broadening of the European decarbonisation process. In this...

Building the Road to Greener Pastures

We owe our gratitude to Suman Bery, Nicola Bilotta, Maria Demertzis, Alberto Franco Pozzolo, Simone Tagliapietra, Guntram Wolff, and Georg Zachmann for their input and comments, as well as Alma Kurtovic for her excellent management of this project. We would also like...

Fit for 55 marks Europe’s climate moment of truth

Fit for 55 marks Europe’s climate moment of truth

The author is grateful to Maria Demertzis, Guntram B. Wolff and Georg Zachmann for their comments on previous drafts. The European Commission’s long-awaited ‘Fit for 55’ package, intended to facilitate a European Union greenhouse gas emissions cut of 55% by 2030...

What should public spending look like?

Here’s what’s clear: public spending is on the rise. Public expenditure ratios have quadrupled since 1870, and increased even more in the recent COVID-19 pandemic. Is that good or bad? What does responsible public spending look like? How should governments institute...