Carbon pricing with regressive co-benefits: evidence from British Columbia’s carbon tax

The carbon tax introduced in British Columbia, Canada in 2018 is found to have had positive impacts on air quality. However the health co-benefits have been greatest in less polluted, less densely-populated and better-off neighbourhoods – highlighting that a carbon tax can exacerbate existing variations in pollution and health, where poorer areas are worse affected.

Policing carbon markets

This working paper aims to shed light on the practical issues involved in policing carbon markets, such as new regulators with narrow authority and lack of legal precedent.

Carbon default swap – disentangling the exposure to carbon risk through CDS

In this paper the authors use Credit Default Swap (CDS) spreads to construct a forward-looking, market-implied carbon risk factor and study how, where and when carbon risk affects firms’ creditworthiness by examining whether firms’ exposure to carbon risk is reflected in the market prices of their CDS contracts.