Driving Down Emissions: The Role of Carbon Pricing
Much of the discussion of climate change rests on the assumption that excess carbon dioxide emissions are a consequence of a market failure. Since the long-run costs of climate change are not built into the price of fossil fuels, the assumed solution is to internalize the costs of carbon. Indeed within the international policy community, carbon pricing is the favoured policy of neoclassical economists (e.g. Garnaut, Stern) and dominates policy discussions (Geels 2012).
KeywordsHuman Development Index Abatement Cost Carbon Price Synchronous Generator Greenhouse Emission
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