If you want to protect Europe, prepare for trade war
Henrik Horn, IFN, is interviewed on the topic of Carbon Dioxide Border Tariffs by Politico:
“A border tariff will most likely provoke a strong reaction internationally,” said Henrik Horn, professor of international economics at Stockholm University and a fellow at the Bruegel think tank. “Just remember the aviation directive in 2008 when the EU wanted to impose a levy on flights which would lead to a form of extraterritorial taxation. The international reaction was so strong that the EU eventually gave up.”