Evolution of the global distribution of carbon dioxide: A finite mixture analysis

Abstract

Economists and environmental policymakers have recently begun advocating a bottom-up approach to climate change mitigation, focusing on reduction targets for groups of nations, rather than large scale global policies. We advance this discussion by conducting a rigorous empirical analysis of the global distribution of carbon emissions along several important dimensions: groupings, polarization, mobility, and volatility. In contrast to previous work, our empirical analysis is both comprehensive and data-driven. We discuss how robust empirical evidence may aid policymakers in forging a heterogeneous carbon abatement policy.