Political Economy Research Seminar
Political Commitment Bonds
Bard Harstad (Stanford GSB)
Thursday 16 October 2025 14:00 - 15:30
Many of our seminars and public events this year will continue as in person or as hybrid (online and in person) events. Please check our website listings and Twitter feed @STICERD_LSE for updates.
Unless otherwise specified, in-person seminars are open to the public. Please ensure you have informed the event contact as early as possible.
Those unable to join the seminars in-person are welcome to participate via zoom if the event is hybrid.
About this event
To which extent can trade motivate environmental conservation? I first analyze a standard trade model, where trade-specific investments (e.g., deforestation) causes environmental externalities. In this model, a traditional trade agreements will raise investments and thus deforestation. Next, I investigate the extent to which a contingent trade agreement (CTA), where default tariffs can vary with changes in the production capacity (e.g., forest cover), can motivate conservation. The model permits many products, countries, and collaborators. A numerical example suggests that growth and liberalization can cause Brazil’s agricultural area to expand by 27%, but this expansion can be avoided if the EU and the US offer a CTA.
The Political Economy Research Seminar is jointly organised by the Departments of Economics, of Government, and of Management, with financial support from STICERD.
It brings together scholars across multiple departments at the LSE and from nearby universities. The series consists of talks by external and internal faculty presenting theoretical or empirical papers on a wide range of topics associated with political economy.
These seminars are held on Tuesdays in term time at 14.00-15.30, in room MAR 6.33, unless specified otherwise.
Seminar coordinators: Timothy Besley (Economics), Tak-Huen Chau (Government), Stephane Wolton (Government), Noam Yuchtman (Management)
Contact gov.comms@lse.ac.uk to be added to the mailing list or for further information.