Tirole, Jean (2012) Some Political Economy of Global Warming. Economics of Energy and Environmental Policy, 1 (n°1). pp. 121-132.

Abstract

After recent disillusions, international climate change negotiations need to be jumpstarted. This paper first argues that countries’ strategic positioning will increase the cost of delay beyond that associated with the classic free-riding problem. It then investigates the governance of an agreement and the design of negotiation and compensation, emphasizing political economy considerations. The paper concludes with a possible roadmap for future negotiations.