Emission trading policy
|Description:||Analysis of the effect of rules for trading emission credits on regional abatement costs.|
|Reference:||Den Elzen et al., 2008; Den Elzen et al., 2011a; Mendoza Beltrán et al., 2011;|
|Is implemented in:||Climate policy|
Effects of this policy intervention on components
Component: Climate policy
Effect : Different rules for trading emission credits lead to different regional mitigation costs. Without any restrictions on emission trading, emission reductions take place wherever it is cheapest to do so and the differences between regional targets and actual domestic emissions is traded among regions.