1. Assessing the Impact of Trade Barriers on Energy Use in Turbulent Times: Current Conditions and Future Outlook for Greece.
- Author
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Bertsatos, Gerassimos and Tsounis, Nicholas
- Subjects
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TRADE regulation , *ENERGY consumption , *CONSUMPTION (Economics) , *ACTIVATION energy , *IMPORT quotas - Abstract
This paper develops a multi-sector computable general equilibrium (CGE) model with specific features for Greece and the non-EU Rest of the World (RoW). The novelty of this work stems from the lack of energy-focused CGE models for Greece in the current literature. The study's objective is to determine how the Greek economy would react if a 30% import tariff and a quota of 67% on energy imports and 35% on remaining imports were implemented. Furthermore, if quotas and tariffs are in force, the Greek economy will initiate countermeasures by increasing investment in renewable energies through substitution and a 35% subsidy. To quantify this, the 2015 Input-Output (I-O) table for Greece and the non-EU RoW was used. To offer a better understanding, the 36 production sectors have been divided into Agriculture, Energy, Manufacturing, and Services. The quota scenario resulted in a reduction in all sectors in domestic production in terms of output and domestic uses, with some sectors experiencing around a 30% reduction. Renewable energy investments, on the other hand, have proven to be effective for domestic production, increasing output and domestic uses by (6.561%) and (7.886%), respectively. In terms of import tariffs, prices have increased, resulting in a significant decrease in household consumption that exceeds 30% in several sectors. Finally, policy recommendations for addressing these trade barriers and Greece's renewable energy opportunities are proposed. [ABSTRACT FROM AUTHOR]
- Published
- 2023
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