- Goal is to create a change in an economy
- market can differentiates b/w goods & services based on carbon footprints
- A carbon price can be established explicitly
- through carbon taxes, emissions trading, or carbon purchase regimes
- or implicitly
- through regulations, emissions standards, Best Available Control
Technology (BACT) requirements
- through regulations, emissions standards, Best Available Control
- Choice of specific policy tools depends on:
- a country’s national circumstances
- the characteristics of affected economic sectors
Carbon Price Implications
