Kyle Meng
@kylemeng.com
Professor at UCSB Bren School and Econ Dept. Climate and Energy Director at emLab. Former White House CEA Senior Climate Economist. Associate at @nber.org @csis.org. Board member @ucsusa.bsky.social. Personal views. www.kylemeng.com
Stay tuned in the coming weeks as we apply this model to analyze CCA’s impacts on U.S. competitiveness, GHG emissions, GDP, and government revenue, as well as the impacts on our trading partners. /n
December 17, 2025 at 9:54 PM
Stay tuned in the coming weeks as we apply this model to analyze CCA’s impacts on U.S. competitiveness, GHG emissions, GDP, and government revenue, as well as the impacts on our trading partners. /n
My team at @emlab.ucsb.edu has been building a state-of-the-art global computable general equilibrium (CGE) trade model to evaluate the economic and climate implications—both for the U.S. and globally—of paired domestic and trade climate policies like CCA. 8/
December 17, 2025 at 9:54 PM
My team at @emlab.ucsb.edu has been building a state-of-the-art global computable general equilibrium (CGE) trade model to evaluate the economic and climate implications—both for the U.S. and globally—of paired domestic and trade climate policies like CCA. 8/
Together, these three pillars provide a comprehensive system of carrots and sticks for both domestic and foreign producers.
CCA recognizes the challenges of domestic industrial decarbonization and the geopolitical opportunities of trade agreements. 7/
CCA recognizes the challenges of domestic industrial decarbonization and the geopolitical opportunities of trade agreements. 7/
December 17, 2025 at 9:54 PM
Together, these three pillars provide a comprehensive system of carrots and sticks for both domestic and foreign producers.
CCA recognizes the challenges of domestic industrial decarbonization and the geopolitical opportunities of trade agreements. 7/
CCA recognizes the challenges of domestic industrial decarbonization and the geopolitical opportunities of trade agreements. 7/
Pillar #3: Domestic decarbonization investments
CCA returns revenue from the domestic performance fee & carbon import tariffs through grants, loans, & rebates to accelerate US industrial decarbonization.
In this era of budget deficits, CCA provides climate spending in a budget-neutral package. 6/
CCA returns revenue from the domestic performance fee & carbon import tariffs through grants, loans, & rebates to accelerate US industrial decarbonization.
In this era of budget deficits, CCA provides climate spending in a budget-neutral package. 6/
December 17, 2025 at 9:54 PM
Pillar #3: Domestic decarbonization investments
CCA returns revenue from the domestic performance fee & carbon import tariffs through grants, loans, & rebates to accelerate US industrial decarbonization.
In this era of budget deficits, CCA provides climate spending in a budget-neutral package. 6/
CCA returns revenue from the domestic performance fee & carbon import tariffs through grants, loans, & rebates to accelerate US industrial decarbonization.
In this era of budget deficits, CCA provides climate spending in a budget-neutral package. 6/
Importantly, CCA waives the US carbon tariff if a trade partner adopts comparable domestic climate policy.
This is crucial, as it lays the groundwork for a US-led global climate club: a trade agreement that rewards domestic climate action with market access. 5/
This is crucial, as it lays the groundwork for a US-led global climate club: a trade agreement that rewards domestic climate action with market access. 5/
December 17, 2025 at 9:54 PM
Importantly, CCA waives the US carbon tariff if a trade partner adopts comparable domestic climate policy.
This is crucial, as it lays the groundwork for a US-led global climate club: a trade agreement that rewards domestic climate action with market access. 5/
This is crucial, as it lays the groundwork for a US-led global climate club: a trade agreement that rewards domestic climate action with market access. 5/
Pillar #2: Carbon import tariff with climate club provisions
US decarbonization is of little use if the rest of the world doesn’t also act.
To level playing field, CCA imposes a carbon tariff on imports from countries that are dirtier on average than the U.S., at the same $60/ton CO2e rate. 4/
US decarbonization is of little use if the rest of the world doesn’t also act.
To level playing field, CCA imposes a carbon tariff on imports from countries that are dirtier on average than the U.S., at the same $60/ton CO2e rate. 4/
December 17, 2025 at 9:54 PM
Pillar #2: Carbon import tariff with climate club provisions
US decarbonization is of little use if the rest of the world doesn’t also act.
To level playing field, CCA imposes a carbon tariff on imports from countries that are dirtier on average than the U.S., at the same $60/ton CO2e rate. 4/
US decarbonization is of little use if the rest of the world doesn’t also act.
To level playing field, CCA imposes a carbon tariff on imports from countries that are dirtier on average than the U.S., at the same $60/ton CO2e rate. 4/
Pillar #1: Domestic performance fee
CCA applies a performance fee of $60/ton CO2e to U.S. firms that are dirtier than U.S. average. Firms that are cleaner than average face no fee.
This creates an incentive for dirtier firms to clean up, and for cleaner firms to stay ahead. 3/
CCA applies a performance fee of $60/ton CO2e to U.S. firms that are dirtier than U.S. average. Firms that are cleaner than average face no fee.
This creates an incentive for dirtier firms to clean up, and for cleaner firms to stay ahead. 3/
December 17, 2025 at 9:54 PM
Pillar #1: Domestic performance fee
CCA applies a performance fee of $60/ton CO2e to U.S. firms that are dirtier than U.S. average. Firms that are cleaner than average face no fee.
This creates an incentive for dirtier firms to clean up, and for cleaner firms to stay ahead. 3/
CCA applies a performance fee of $60/ton CO2e to U.S. firms that are dirtier than U.S. average. Firms that are cleaner than average face no fee.
This creates an incentive for dirtier firms to clean up, and for cleaner firms to stay ahead. 3/
Manufacturing is where climate policy meets global competition.
In some sectors, US is among cleanest (eg metals). In others US is falling behind (eg EVs, renewables).
CCA aims for US industries to be globally competitive while achieving GHG cuts at home and abroad through 3 pillars. 2/
In some sectors, US is among cleanest (eg metals). In others US is falling behind (eg EVs, renewables).
CCA aims for US industries to be globally competitive while achieving GHG cuts at home and abroad through 3 pillars. 2/
December 17, 2025 at 9:54 PM
Manufacturing is where climate policy meets global competition.
In some sectors, US is among cleanest (eg metals). In others US is falling behind (eg EVs, renewables).
CCA aims for US industries to be globally competitive while achieving GHG cuts at home and abroad through 3 pillars. 2/
In some sectors, US is among cleanest (eg metals). In others US is falling behind (eg EVs, renewables).
CCA aims for US industries to be globally competitive while achieving GHG cuts at home and abroad through 3 pillars. 2/
Sen. Whitehouse, Rep. DelBene, & co-sponsors just introduced a revamped Clean Competition Act (CCA).
CCA is the most ambitious & meticulously crafted climate policy from this Congress. It lays a marker for what US policy looks like in this era of geopolitical competition. 1/
#climatesky #energysky
CCA is the most ambitious & meticulously crafted climate policy from this Congress. It lays a marker for what US policy looks like in this era of geopolitical competition. 1/
#climatesky #energysky
Whitehouse, DelBene Reintroduce Carbon Border Adjustment to Boost Domestic Manufacturers, Tackle Climate Change
Clean Competition Act bolsters American companies’ competitiveness and cuts emissions at home and abroad
Washington, D.C. - Senator Whitehouse (D-RI), Ranking Member of the Senate Committee on E...
www.epw.senate.gov
December 17, 2025 at 9:54 PM
Sen. Whitehouse, Rep. DelBene, & co-sponsors just introduced a revamped Clean Competition Act (CCA).
CCA is the most ambitious & meticulously crafted climate policy from this Congress. It lays a marker for what US policy looks like in this era of geopolitical competition. 1/
#climatesky #energysky
CCA is the most ambitious & meticulously crafted climate policy from this Congress. It lays a marker for what US policy looks like in this era of geopolitical competition. 1/
#climatesky #energysky
Our "Dodging Day Zero" paper is out in JEEA. We uncover how Cape Town avoided 2017's catastrophic drought. But in doing so, created longer term sustainability challenges and weakened the fiscal viability of public water. A lesson for the 1B living in drought vulnerable cities.
#climatesky #econsky
#climatesky #econsky
Forthcoming article "Dodging Day Zero: Drought, Adaptation, and Inequality in Cape Town" by Alexander Abajian, Cassandra Cole, B Kelsey Jack, @kylemeng.com and Martine Visser
@eeanews.bsky.social
doi.org/10.1093/jeea...
@eeanews.bsky.social
doi.org/10.1093/jeea...
Dodging Day Zero: Drought, Adaptation, and Inequality in Cape Town
Abstract. A near-catastrophic drought in Cape Town, South Africa, illustrates three implications of climate change for publicly provided utility services.
doi.org
December 17, 2025 at 6:49 AM
Our "Dodging Day Zero" paper is out in JEEA. We uncover how Cape Town avoided 2017's catastrophic drought. But in doing so, created longer term sustainability challenges and weakened the fiscal viability of public water. A lesson for the 1B living in drought vulnerable cities.
#climatesky #econsky
#climatesky #econsky
Shu-Chen Tsao
JMP: "Innovation and Adaptation to Expanding Biological Threats"
Website: sites.google.com/view/shuchen...
JMP: "Innovation and Adaptation to Expanding Biological Threats"
Website: sites.google.com/view/shuchen...
Shu-Chen Tsao
Shu-Chen Tsao Ph.D. Candidate in Economics University of California, Santa Barbara (UCSB)
sites.google.com
November 17, 2025 at 4:40 PM
Shu-Chen Tsao
JMP: "Innovation and Adaptation to Expanding Biological Threats"
Website: sites.google.com/view/shuchen...
JMP: "Innovation and Adaptation to Expanding Biological Threats"
Website: sites.google.com/view/shuchen...
Jimena Rico-Straffon
JMP: "Impacts of Water Shortages on Labor Supply: Evidence from Mexico City"
Website: jimenaricostraffon.com
JMP: "Impacts of Water Shortages on Labor Supply: Evidence from Mexico City"
Website: jimenaricostraffon.com
Jimena Rico-Straffon
jimenaricostraffon.com
November 17, 2025 at 4:40 PM
Jimena Rico-Straffon
JMP: "Impacts of Water Shortages on Labor Supply: Evidence from Mexico City"
Website: jimenaricostraffon.com
JMP: "Impacts of Water Shortages on Labor Supply: Evidence from Mexico City"
Website: jimenaricostraffon.com
Risa Lewis
JMP: "Willingness to Pay to Avoid the Emotional Well-being Impact of Climate Change Information"
Website: risaalewis.com
JMP: "Willingness to Pay to Avoid the Emotional Well-being Impact of Climate Change Information"
Website: risaalewis.com
Risa Lewis
Personal Website of Risa Lewis
risaalewis.com
November 17, 2025 at 4:40 PM
Risa Lewis
JMP: "Willingness to Pay to Avoid the Emotional Well-being Impact of Climate Change Information"
Website: risaalewis.com
JMP: "Willingness to Pay to Avoid the Emotional Well-being Impact of Climate Change Information"
Website: risaalewis.com
Minwoo Hyun
JMP: “Trapped or Transferred: Worker Mobility and Labor Market Power in the Energy Transition”
Website: minwoo-hyun.github.io
JMP: “Trapped or Transferred: Worker Mobility and Labor Market Power in the Energy Transition”
Website: minwoo-hyun.github.io
Minwoo Hyun's Personal Website
minwoo-hyun.github.io
November 17, 2025 at 4:40 PM
Minwoo Hyun
JMP: “Trapped or Transferred: Worker Mobility and Labor Market Power in the Energy Transition”
Website: minwoo-hyun.github.io
JMP: “Trapped or Transferred: Worker Mobility and Labor Market Power in the Energy Transition”
Website: minwoo-hyun.github.io
Seonmin (Will) Heo
JMP: “Floods and the Frictions of Price Adjustment in Housing Markets”
Website: swheo.com
JMP: “Floods and the Frictions of Price Adjustment in Housing Markets”
Website: swheo.com
Seonmin Will Heo
Seonmin Will Heo is a Ph.D. candidate at the Department of Economics, University of California Santa Barbara. His research interests lie broadly in and at the intersection of environmental, developmen...
swheo.com
November 17, 2025 at 4:40 PM
Seonmin (Will) Heo
JMP: “Floods and the Frictions of Price Adjustment in Housing Markets”
Website: swheo.com
JMP: “Floods and the Frictions of Price Adjustment in Housing Markets”
Website: swheo.com
Yang Gao
JMP: "Beyond Emissions: The Implications of Capital Misallocation on Optimal Carbon Tax"
Website: yanggaolamb.github.io
JMP: "Beyond Emissions: The Implications of Capital Misallocation on Optimal Carbon Tax"
Website: yanggaolamb.github.io
Yang Gao - Homepage
Welcome to Yang Gao's academic homepage.
yanggaolamb.github.io
November 17, 2025 at 4:40 PM
Yang Gao
JMP: "Beyond Emissions: The Implications of Capital Misallocation on Optimal Carbon Tax"
Website: yanggaolamb.github.io
JMP: "Beyond Emissions: The Implications of Capital Misallocation on Optimal Carbon Tax"
Website: yanggaolamb.github.io
Luorao Bian
JMP: “The Environmental Implications of Place-Based Policy: Evidence from Minimum Wage Ordinances”
Website: www.luoraobian.com
JMP: “The Environmental Implications of Place-Based Policy: Evidence from Minimum Wage Ordinances”
Website: www.luoraobian.com
Home
Contact
3017 North Hall
University of California
Santa Barbara, CA 93106
lbian at ucsb dot edu
www.luoraobian.com
November 17, 2025 at 4:40 PM
Luorao Bian
JMP: “The Environmental Implications of Place-Based Policy: Evidence from Minimum Wage Ordinances”
Website: www.luoraobian.com
JMP: “The Environmental Implications of Place-Based Policy: Evidence from Minimum Wage Ordinances”
Website: www.luoraobian.com
Our PhD job market candidates continues UCSB’s proud tradition in environmental and resource economics.
Here are our students on the market this year (in alphabetical order).
#econsky
Here are our students on the market this year (in alphabetical order).
#econsky
November 17, 2025 at 4:40 PM
Our PhD job market candidates continues UCSB’s proud tradition in environmental and resource economics.
Here are our students on the market this year (in alphabetical order).
#econsky
Here are our students on the market this year (in alphabetical order).
#econsky
Governor Newsom just reauthorized California’s centerpiece climate policy - cap and invest - for the next two decades, reducing pollution and electricity prices in the world’s 4th biggest economy. This is now the US’ most important climate policy.
September 19, 2025 at 6:16 PM
Governor Newsom just reauthorized California’s centerpiece climate policy - cap and invest - for the next two decades, reducing pollution and electricity prices in the world’s 4th biggest economy. This is now the US’ most important climate policy.
California Assembly and Senate just passed AB 1207, extending and strengthening the state’s centerpiece climate policy - cap and invest- for the next 20 years. Now onto the governor’s signature!
#climatesky #energysky
#climatesky #energysky
September 13, 2025 at 8:02 PM
California Assembly and Senate just passed AB 1207, extending and strengthening the state’s centerpiece climate policy - cap and invest- for the next 20 years. Now onto the governor’s signature!
#climatesky #energysky
#climatesky #energysky
US EPA proposes end to mandatory greenhouse gas reporting reut.rs/3JYUgq4
US EPA proposes end to mandatory greenhouse gas reporting
The U.S. Environmental Protection Agency proposed on Friday a rule to end a mandatory program requiring 8,000 facilities to report their greenhouse gas emissions - an effort the agency said was burdensome to business, but which leaves the public without transparency around the environmental impact of those sources.
reut.rs
September 12, 2025 at 8:10 PM
Dr. Kyle Meng, UC Santa Barbara: “This is the most important U.S. climate policy for the foreseeable future. These bills send a signal that California is doubling down on its climate commitments for the next two decades with a practical approach that meets both climate and affordability goals.”
What they’re saying: Overwhelming support for historic climate and energy affordability legislation | Governor of California
www.gov.ca.gov
September 12, 2025 at 7:49 PM
Dr. Kyle Meng, UC Santa Barbara: “This is the most important U.S. climate policy for the foreseeable future. These bills send a signal that California is doubling down on its climate commitments for the next two decades with a practical approach that meets both climate and affordability goals.”
Reposted by Kyle Meng
Hey, #EconSky! Got a policy-relevant paper that you want folks in DC to see? Present & publish it with NBER's Environmental and Energy Policy and the Economy.
Submission deadline is Oct 20.
Conference is in DC on May 21, 2026.
More details below.
conference.nber.org/confsubmit/b...
Submission deadline is Oct 20.
Conference is in DC on May 21, 2026.
More details below.
conference.nber.org/confsubmit/b...
Submission: 8th Annual NBER Environmental and Energy Policy and the Economy Conference, Page 1 of 2 - MyNBER
conference.nber.org
September 11, 2025 at 7:15 PM
Hey, #EconSky! Got a policy-relevant paper that you want folks in DC to see? Present & publish it with NBER's Environmental and Energy Policy and the Economy.
Submission deadline is Oct 20.
Conference is in DC on May 21, 2026.
More details below.
conference.nber.org/confsubmit/b...
Submission deadline is Oct 20.
Conference is in DC on May 21, 2026.
More details below.
conference.nber.org/confsubmit/b...
Many thanks to Gov. Newsom, CA legislators, & staff for their tireless efforts to get us here.
Mighty proud to be a Californian today. /n
Mighty proud to be a Californian today. /n
September 10, 2025 at 10:55 PM
Many thanks to Gov. Newsom, CA legislators, & staff for their tireless efforts to get us here.
Mighty proud to be a Californian today. /n
Mighty proud to be a Californian today. /n
This is a strong bill. It double downs on CA’s climate commitment for next 20 years—balancing ambition & affordability.
It may also well be the most important U.S. climate policy for the foreseeable future. 9/
It may also well be the most important U.S. climate policy for the foreseeable future. 9/
September 10, 2025 at 10:55 PM
This is a strong bill. It double downs on CA’s climate commitment for next 20 years—balancing ambition & affordability.
It may also well be the most important U.S. climate policy for the foreseeable future. 9/
It may also well be the most important U.S. climate policy for the foreseeable future. 9/