Macro Seminar

Speaker: Tom Schmitz (Queen Mary University London)

Title: Regional and Aggregate Economic Consequences of the Green Transition

Format: Hybrid

Abstract: In this paper, we evaluate the economic impact of fine particle regulations in the United States. To do so, we first provide new empirical evidence on the effects of these regulations across industries and local labour markets, and then use our regression results to calibrate a quantitative general equilibrium model. Our model implies that regulations lowered emissions by 13%, aggregate GDP per worker by 0.06% and aggregate employment by 1.55%. Aggregate employment losses are about 15% lower than the relative losses implied by our regressions. This is due to positive spillover effects from the regulations to non-regulated areas, and suggests that the employment costs of environmental regulations could be lower than previously thought.

Organiser: Sekyu

For more information, please contact the organiser.