Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/53231 
Year of Publication: 
2008
Series/Report no.: 
Nota di Lavoro No. 67.2008
Publisher: 
Fondazione Eni Enrico Mattei (FEEM), Milano
Abstract: 
There is growing impetus for a domestic U.S. climate policy that can provide meaningful reductions in emissions of CO2 and other greenhouse gases. I describe and analyze an up- stream, economy-wide CO2 cap-and-trade system which implements a gradual trajectory of emissions reductions (with inclusion over time of non-CO2 greenhouse gases), and includes mechanisms to reduce cost uncertainty. Initially, half of the allowances are allocated through auction and half through free distribution, with the share being auctioned gradually increasing to 100 percent over 25 years. The system provides for linkage with emission reduction credit projects in other countries, harmonization over time with effective cap-and-trade systems in other countries and regions, and appropriate linkage with actions taken in other countries, in order to establish a level playing field among domestically produced and imported products.
Subjects: 
Cap-and-Trade System
Carbon Dioxide
Greenhouse Gas Emissions
Global Climate Change
Carbon Taxes
JEL: 
Q54
Q28
Q38
Q48
Q58
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.