02276cas a2200301 a 4500 AALejournalIMF022336 230101c9999 xx r poo 0 0eng d 18.00 USD 9781513585765 1018-5941 BD-DhAAL BD-DhAAL Barrett, Philip. Can International Technological Diffusion Substitute for Coordinated Global Policies to Mitigate Climate Change? / Philip Barrett. Washington, D.C. : International Monetary Fund, 2021. 1 online resource (76 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students In short, yes. I use a multi-region integrated assessment model with fuel-specific endogenous technical change to examine the impact of Europe and China reducing emissions to zero by mid-century. Without international technological diffusion this is insufficient to avoid catastrophic climate change. But when innovation can diffuse overseas, long-run temperature increases are limited to 3 degrees. This occurs because policy not only encourages green innovations but also dissuades dirty innovations which would otherwise spread. The most effective policy package in emissions-reducing regions is a research subsidy funded by a carbon tax, driven in the short term by the direct effect of the carbon tax on the composition of energy, and later by innovation induced by research subsidies. Green production subsidies are ineffective because they undermine incentives for innovation. Mode of access: Internet Climate imf Global Warming imf International Policy Coordination and Transmission imf Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook imf Natural Disasters and Their Management imf IMF Working Papers; Working Paper ; No. 2021/173 Full text available on IMF http://elibrary.imf.org/view/journals/001/2021/173/001.2021.issue-173-en.xml IMF e-Library