Conference Agenda
Overview and details of the sessions of this conference. Please select a date or location to show only sessions at that day or location. Please select a single session for detailed view (with abstracts and downloads if available).
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Daily Overview |
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Egg-timer session: Carbon leakage Location: Auditorium J: Aina Uhde Session Chair: Knut Einar Rosendahl, Norwegian University of Life Sciences | |
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Taxing Foods for Greenhouse Gas Emissions Can Result in Benefits for the Environment and Health while Avoiding Large Leakage Effects 1: Department of Food and Resource Economics, University of Copenhagen, Denmark; 2: Environmental Change Institute, Oxford University Centre for the Environment, University of Oxford, Oxford, UK; 3: Institute for Global Health, University College London, London, UK Context: Reducing food system greenhouse gas (GHG) emissions has been increasingly recognized as necessary for achieving net zero goals. However, countries considering policy measures directed at agricultural production are confronted with the risk of carbon leakages. Objective: This study explores how a food consumption-based GHG tax can realize sizable global GHG reductions while causing only minor demand and production reallocations across countries in a set of scenarios where increasing numbers of countries apply the GHG tax at differentiated rates. Methods: Our methodology couples three models: a disaggregated demand system parameterized with meta-elasticities, a Computable General Equilibrium (CGE) model, and a Comparative Risk Assessment (CRA) model. This allows us to capture cross-product substitution effects arising from the GHG tax, within- and cross-country demand and production reallocation effects, and the associated GHG emissions and health outcomes. Results and conclusions: We find that a uniform GHG tax leads to the highest GHG mitigation potential (4.9% of global GHG emissions) but also results in negative health implications in some countries. In contrast, differentiated GHG taxes reflecting the common but differentiated responsibility lower global mitigation potential slightly (4.4%) but reduce the negative health effects in more vulnerable countries. Recycling the tax revenue to subsidize fruits and vegetables consumption improves health outcomes significantly but also lowers the mitigation potential (3.6%). In this setting, a more ambitious GHG tax can lead to more GHG reductions and significantly better health outcomes, so long as the tax does not significantly reduce food purchasing power. | |