Abstract

Human activities are threatening to push the Earth system beyond its planetary boundaries, risking catastrophic and irreversible global environmental change. Action is urgently needed, yet well-intentioned policies designed to reduce pressure on a single boundary can lead, through economic linkages, to aggravation of other pressures. In particular, the potential policy spillovers from an increase in the global carbon price onto other critical Earth system processes has received little attention to date. To this end, we explore the global environmental effects of pricing carbon, beyond its effect on carbon emissions. We find that the case for carbon pricing globally becomes even stronger in a multi-boundary world, since it can ameliorate many other planetary pressures. It does however exacerbate certain planetary pressures, largely by stimulating additional biofuel production. When carbon pricing is allied with a biofuel policy, however, it can alleviate all planetary pressures

Published in

Nature Communications
2020, Volume: 11, number: 1, article number: 4688

SLU Authors

• Krishnamurthy, Chandra

  • Department of Forest Economics, Swedish University of Agricultural Sciences
    
  • Royal Swedish Academy of Sciences

Sustainable Development Goals

Take urgent action to combat climate change and its impacts


UKÄ Subject classification

Economics


Publication identifier

DOI: https://doi.org/10.1038/s41467-020-18342-7

Permanent link to this page (URI)

https://res.slu.se/id/publ/108030