The price of non-compliance with the Kyoto Protocol: The remarkable case of Norway.

Abstract??One of the ways to induce compliance is for an international enforcement mechanism to authorize the use of punitive consequences against a non-compliant country. However, such consequences should not cause significant damage toother(compliant) countries. The compliance mechanism of the Kyoto Protocol fails to meet this requirement. The Enforcement Branch of the Compliance Committee is instructed to impose punitive consequences on a non-compliant country that will have considerable adverse welfare effects forcompliantcountries as well. Using a numerical model, we show that in the case of Norway, the welfare effects can actually be worse ifanothercountry is punished than if Norway itself is punished. [ABSTRACT FROM AUTHOR]