Environmental Regulation in the Shadow of International Trade Law: A Principal-Agent Analysis

2012 ◽  
Vol 2 (3) ◽  
pp. 193-215
Author(s):  
Johannes Urpelainen
Author(s):  
Julien Bueb ◽  
Lilian Richieri Hanania ◽  
Alice Le Clézio

This chapter examines, from a multidisciplinary perspective, plausible hypotheses for implementation of border carbon adjustment mechanisms, seen as a complement to strong environmental regulation. It highlights economic, legal, and political difficulties raised by border carbon adjustments. After thoroughly reviewing their economic practicability, it analyses these mechanisms from an International Trade Law perspective, particularly vis-à-vis the General Agreement on Tariffs and Trade, sustainable development, and the principle of shared but differentiated responsibilities. It concludes with an assessment of policy-related implications of such mechanisms and outlines, in particular, how border carbon adjustments may be used as an engine of economic and energy transition, for developed and developing countries equally.


1969 ◽  
pp. 745
Author(s):  
Donald McRae

The intersection of international trade law and environmental sustainability has been subject to much scrutiny, both in the media and in internationally constituted bodies. Views on the impact of trade on the environment range from one of mutual benefit to an assertion of real threat. The author assesses the bases upon which criticism of the WTO is commonly levelled, and provides a reasoned analysis of the nature of the trade and environment debate. In addressing this question, the author examines the purview of the WTO pertaining to trade law, and delineates to what extent environmental protection encroaches upon international trade obligations. To this end, the author considers the means by which conflicts between trade and the environment have been reconciled, and draws attention to issues that obstruct resolution. Lastly, concerns central to the trade and environmental regulatory schemes themselves are raised. The author concludes that the long term viability of international trade equally benefiting the developed and developing world is dependent upon corresponding environmental regulation.


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