ABSTRACT

As wealthy countries with abundant fossil fuel endowments, it is not surprising that the United States and Canada have among the highest per capita greenhouse gas emissions in the world. In response, policy reforms to reduce greenhouse gas emissions and promote the transition to a low carbon economy have been modest at best in both countries. While the recent United States trajectory is a story of transition to a less carbon-intensive fuel, the Canadian emissions trajectory is underpinned by growing production of more carbon-intensive oil. The Canadian Liberal Party's 2015 election platform offered something for all sides in the climate policy debate. In the face of weak policies, observed emission trends to date largely reflect market forces. While policy innovation has been in short supply, the impact of technological innovation on the carbon intensity of the United Statesand Canadian economies is evident – yet mixed.