Governments are actively supporting the transition to a green economy through the use of green subsidies. While the main purpose of these subsidies is to promote the adoption of green technologies, their potential to create green jobs is also often mentioned as an explicit policy objective. Yet, little is known about the effectiveness of these subsidies in creation of new jobs and the extent to which the creation of green jobs can compensate for the destruction of brown ones. This project will identify whether green subsidies are a good strategy in the face of job loss due to the green transition by focusing on their effects on employment and wages.

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