EM-PLUS: what for?

The world is facing great environmental challenges. Relevant questions pop up, like: “How can we limit the negative impacts of climate change in a cost-effective manner?”, “Who should pay for air pollution -- consumers or polluters?” and “What are the economic impacts of a shift towards a circular economy?”. Such environmental challenges are high on the agenda but at the same time radical changes are difficult to implement in this complex world.

One way to accelerate the transition towards a fully sustainable world is the environmental tax reform. However, such a tax reform could lead to significant impacts on the economy. Sure there will be winners, such as the employees and labour-intensive companies, but there will be losers as well, such as the large resource producers. Can we identify the expected winners and losers and how large would the gains and losses be, in monetary or in job terms? Which income groups will be affected the most? Would we need new labour skills in the new economy and will there be sufficient supply of such skills? These are relevant questions for policy makers in order to effectively implement policy measures and we hope to answer each of them for you. The transition towards a fully sustainable world is a challenging one and we need to understand the world better in order to make it a better place.

We endeavor to provide insight in this world of complexity. EMPLUS provides a rich set of models, which allows us to approach each question with an appropriate model. For example, our economic model EXIOMOD 2.0 allows us to answer policy questions at macroeconomic level. For questions at the firm level we would rather choose our heterogeneous agent based model ACASIES. We have covered a broad range of areas with our set of models , where innovation economics, regional economics, or mobility are good examples. Many of our applications can be anchored in three overall groups, ‘energy’, ‘climate change’ and ‘resource efficiency’.