Science, Technology, and Public Policy

Scientists from three universities demonstrate that buying a product made in China causes significantly higher carbon dioxide emissions than purchasing the same product made elsewhere.

International trade has become the fastest growing driver of global carbon emissions, with large quantities of emissions embodied in exports from emerging economies. International trade with emerging economies poses a dilemma for climate and trade policy: to the extent emerging markets have comparative advantages in manufacturing, such trade is economically efficient and desirable. However, if carbon-intensive manufacturing in emerging countries such as China entails drastically more CO2 emissions than making the same product elsewhere, then trade increases global CO2 emissions.

China is the world's largest emitter of carbon dioxide, accounting for one-quarter of the global total in 2013. Although the country has successfully lowered the rate of emissions from industry in some cities through improved technology and energy-efficiency measures, rapid economic growth means that more emissions are being added than removed. Without mitigation, China's CO2 emissions will rise by more than 50% in the next 15 years.

The magnitude and growing annual rate of growth of China's carbon emissions make this country the major driver of global carbon emissions and thus a key focus for efforts in emissions mitigations. This report presents independent data on China's carbon emissions from 1950–2012, and provides a basis to support mitigation efforts and China's low-carbon development plan.

In this new oped for the Bulletin of the Atomic Scientist, MTA Associate Aaron Arnold and colleague Nikos Passas consider the role of banks in monitoring and verifying proliferation-related transactions. He outlines steps that the P5+1 and Iran can take in a final agreement that will allow them to remain vigilant about proliferation financing.

This discussion paper examines the development of water markets as a solution to water scarcity in China, with particular focus on Water Rights Trading (WRT). Water scarcity is an issue of growing concern for China, particularly in the north, where a combination of limited water supplies, economic growth, and population increases are increasingly straining water resources. The Chinese government has moved enthusiastically toward an embrace of market mechanisms to address water scarcity, with WRT being the preferred policy instrument in the agricultural sector, which accounts for the majority of water use in China. This discussion paper proposes several policy recommendations to improve the development of water markets in China, in particular by lowering the transaction costs to establishing markets and improving policy coordination.

Financial sanctions against Iran are contributing to the growth of regional criminal networks, which use fraud, bribery, and corruption to facilitate commerce. From airplane parts and medical equipment, to specialized materials for weapons programs, an intricate underground economy of financial and logistic intermediaries play a critical role in helping Iran circumvent Western sanctions. Do not expect this to change in a post-sanctions world...

China committed itself to reduce the carbon intensity of its economy (the amount of CO2 emitted per unit of GDP) by 40–45% during 2005–2020. Yet, between 2002 and 2009, China experienced a 3% increase in carbon intensity, though trends differed greatly among its 30 provinces. Decomposition analysis shows that sectoral efficiency gains in nearly all provinces were offset by movement towards a more carbon-intensive economic structure.

"An ambitious deal might also stimulate more demand for innovations in clean technologies, in which China is emerging as a global leader. But because of the UN's decision-making process, in which all its members have to agree on a new deal, Xi Jinping is in the powerful position of being able to commit to only as much emission reductions as fit his domestic policy agenda."

"Many states in the region, especially those that have been vocal in their criticism of Iran's nuclear program, feel threatened not by the prospects of a nuclear Iran, but by Iranian-Western rapprochement. Political and economic isolation have helped states like Saudi Arabia, who fear losing their military, economic, and political ties and privileges with the United States. After all, Tehran and Washington did have close relations prior to 1979 and, given that the two countries have a lot in common, they could develop ties again."