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The Israeli Economy and Potential Post-Kyoto Targets
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Amir Shmueli and David Messika
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Abstract
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This study aims to quantify the economy-wide consequences for Israel of meeting
potential targets of the post-2012 agreement, employing a Computable General
Equilibrium (CGE) model of the Israeli economy. A tax per ton of carbon emissions leads
to significant emission reductions, followed by a minor decrease in economic variables.
The negative impact of auctioned permits and the carbon tax on GDP is minor even when
parameter values are changed. The CGE approach followed in this research is applied for
the first time to the Israeli economy and should contribute to a better informed debate on
environmental policy in Israel.
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The full article as a PDF file
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