Schwerhoff, G.

Response to the comment on: ‘The economics of leadership in climate change mitigation’

in Climate Policy, 19.07.2016

Peer Review

The comment on my article Schwerhoff [(2016). The economics of leadership in climate change mitigation. Climate Policy, 16, 196–214] points out that leadership in climate change mitigation can trigger negative reaction mechanisms (free-riding and leakage) and that Climate Clubs are needed instead of leadership. In my response I address the concerns expressed in the comment and I advance two arguments in favour of studying and communicating positive reaction mechanisms. First, there is sound scientific evidence on the positive reaction mechanisms and the relative strength of positive and negative mechanisms is unknown. Second, countries or regions without the ability or willingness to implement sanctions may nevertheless wish to take the initiative. They deserve complete information on the effects of leadership.