Carbon Exposed or Carbon Advantaged?
Traditionally, competitiveness in the context of carbon pricing is narrowly construed as the impacts on emission-intensive and trade-exposed (EITE) sectors including iron and steel, basic chemicals, lime and cement. But competitiveness affects the entire economy, and with an understanding of both its positive and negative impacts, policy-makers can make better carbon mitigation policy choices. With Ontario’s largely service and manufacturing-sector based economy, limiting competitiveness analysis to only EITE’s would miss 85% of its economy. Sustainable Prosperity used economic modelling to examine the economic impacts of the Western Climate Initiative (WCI) on Ontario in 2030 in its latest Policy Brief.