An Empirical Investigation into Carbon Lock-In: What Determines the Stringency of Environmental Policy?

Julian Marenz
Carbon lock-in is referring to the prolonged utilization of a fossil-based energy system despite an increasing number of reasons for the shift to alternative technologies. This paper uses environmental policy stringency (EPS), an index published by the OECD, as a proxy for carbon lockin. A fixed effect and a generalized methods of moments estimator are used. These approaches yield the conclusion that EU- membership and GDP per capita are associated with a higher EPS. Furthermore,...
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