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I am a third-year PhD candidate in Economics, working under the supervision of Gauthier Vermandel. I am affiliated with Université Paris-Dauphine - LEDa and DARES, the statistical office of the French Ministry of Labor.
My research interests are in macroeconomics, labor economics, and environmental economics. My research focuses on integrating micro-founded labor market frictions into quantitative climate-economy models.
[CV]
You can contact me at camille3.cousin[at]gmail[dot]com
The Labor Market Amplification of Climate Policy [WP]
Abstract: We show that ignoring labor market frictions mismeasures the macroeconomic costs and benefits of climate policy, including the scope for a double dividend from revenue recycling. We establish this result in an estimated nonlinear macro-climate model featuring search-and-matching frictions and endogenous carbon dynamics, disciplined by U.S. data. In the model, carbon pricing and climate damages alter firms' incentives to create jobs, generating persistent unemployment and amplifying transition dynamics. Labor market frictions substantially deepen short-run contractions associated with net-zero policies while nearly doubling the long-run gains from avoided climate damages. Accounting for labor market structure is therefore essential for decarbonization policy.
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