Cap and Trade is Not Enough
journal contributionposted on 01.03.2009 by Constantine Samaras, Jerome Apt, Ines L. Azevedo, Lester B. Lave, M. Granger Morgan, Edward Rubin
Any type of content formally published in an academic journal, usually following a peer-review process.
A market-based mechanism (e.g. cap and trade or a carbon tax) is likely to be a key part of America's strategy to reduce carbon dioxide (CO2) emissions. We need to do this soon so that a framework for emissions reductions is established. However, for at least the next decade, a market-based approach alone will not induce the investments in long-lived technology needed to put the nation on a track to achieve a 50 to 80% reduction in emissions of carbon dioxide by mid-century. The range of prices for CO2 being discussed will be too low to make this happen.