Responding to Climate Change

Responding to Climate Change

Global Experiences and the Korean Perspective

KDI/EWC series on Economic Policy

Edited by Chin Hee Hahn, Sang-Hyop Lee and Kyoung-Soo Yoon

This topical book explores the global experiences of responding to climate change, with perspectives from Australia, China, the European Union, Japan, the Republic of Korea, the United States, as well as the International Energy Agency.

Preface

Edited by Chin Hee Hahn, Sang-Hyop Lee and Kyoung-Soo Yoon

Subjects: asian studies, asian economics, economics and finance, asian economics, environmental economics, environment, climate change, environmental economics

Extract

Climate change is one of the most important issues in the world economy nowadays. Without significant reduction of greenhouse gas emissions, it will hinder economic development and the sustained growth of humankind. Confronting this global problem, governments (mostly of developed countries) have been making efforts to mitigate and adapt to it. These efforts have launched international collaboration, resulting in the United Nations Framework Convention on Climate Change (UNFCCC) and the 1997 Kyoto protocol. There are ongoing negotiations for the post-Kyoto era beyond 2012, when more countries are expected to participate in the collective action. Accordingly, many countries are introducing, expanding, or improving their policy measures to respond to climate change. It appears, however, that many obstacles lie ahead in achieving an efficient and equitable mitigation policy framework, on both the global and the national levels. Owing to different economic conditions and the “public good” nature of climate change, procedures to secure global agreement are being considerably delayed. Domestic policies are often distorted because of conflicts of interest between different industries and regions, and between firms and taxpayers. Political procedures for environmental regulation raise problems of dynamic consistency and commitment. These challenges are more severe in developing and newly developed countries such as Korea. Concerns that regulation of greenhouse gas emissions could seriously halt economic growth make the adoption of mitigation policy difficult. Governments are faced with difficult considerations when trying to take a balanced position between economic development and environmental protection. Traditional industrial policies and regulations often conflict with emissions...