Models for the analysis of international interrelations of the EU ETS and of a CBAM

Abstract

This report is part of the overall project “Models for the analysis of international interrelations of the EU-ETS and of a CBAM”.It provides an overview of existing models that are in principle capable of representing the key topics of the overall research project: namely, a) the potential “carbon leakage” impacts from “uneven” carbon pricing, b) policies that address this risk, e.g. a carbon border adjustment mechanism (CBAM), and c) more general, key economic impacts of GHG mitigation scenarios with different total global mitigation ambitions. This overview also includes the two models applied in this project - GINFORS-E and GEM-E3.