3 ms·

Cap-n-trade was a very successful program for reducing nox and sox emissions. If you create the right incentives, markets tend to find a way.

• tovej 6y ago
  They still aren't decoupled from emissions. IIRC Emissions actually grow faster than GDP, so it's actually worse than a simple coupling: it's a feedback coupling. All studies that have looked at seeming decoupling of emissions from the economy have found that they decoupling was due to outsourcing the emissions to other countries. Markets cannot solve emissions as long as value is a function of production.
  • aeternum 6y ago
    Countries that tax emissions should simply levy a proportional tariff on goods imported from countries that do not tax emissions. Wouldn't this eliminate the incentive to outsource the emissions? You could even add some margin to the tariff such that it is more economical for countries to tax the emissions themselves rather than pay the tariff.