- Working Paper
We introduce an international technology treaty ("Tech Treaty") that couples the funding of research for a more advanced abatement technology with an international emissions permit market. While each country decides on domestic permit issuance, a fraction of these permits is auctioned by an international agency. Auction revenues scale up license revenues for the innovators of abatement technologies. We show that such a treaty increases innovations and decreases emissions under plausible conditions compared to an emissions trading system without additional technology agreement. Finally, we discuss how a Tech Treaty may inspire next steps in existing technology programs. Show more
Journal / seriesCEPR Discussion Papers
Pages / Article No.
PublisherCentre for Economic Policy Research
SubjectClimate change mitigation; Technology promotion; R&D; International emissions permit markets; International treaty; Externalities
Organisational unit03729 - Gersbach, Hans / Gersbach, Hans
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