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).
Please note that all times are shown in the time zone of the conference. The current conference time is: 24th Aug 2026, 01:52:38am WEST
External resources will be made available 30 min before a session starts. You may have to reload the page to access the resources.
|
Daily Overview |
| Session | |
|
Emissions Trading 2: ETS Evidence Location: B136 Session Chair: Yinna Chen, Huazhong University of Science and Technology | |
    | |
Strategic Abatement of an ETS with Flexible Entry and Exit: Evidence from Korea 1: School of Economics, Huazhong University of Science and Technology, China, People's Republic of; 2: Institute for International Studies, CICTSMR, Wuhan University, Wuhan, China; 3: School of Economics, Yonsei University, Seoul, South Korea We investigate the abatement effects of the first nationwide carbon market in East Asia. Exploiting the flexible entry and exit rules of the Korea Emissions Trading Scheme (KETS), we find that the KETS achieves limited emission reductions. These reductions are driven primarily by small entities and those near the inclusion thresholds, while large entities do not significantly reduce emissions. Consistent with this, we document pronounced bunching just below the 25,000-ton threshold, indicating that the flexible entry-exit design induces strategic abatement behavior. Notably, we find little evidence of carbon leakage to unregulated affiliates, suggesting that the observed reductions represent genuine abatement rather than emission relocation. However, these reductions rely mainly on output contraction and reduced factor inputs rather than clean technology investment or efficiency improvements, crowding out R&D investment and negatively affecting productivity. | |