The idea of personal carbon allowances (PCAs) was presented by the UK Environment Secretary, David Miliband, in 2006. Although no nation state is seriously developing proposals for them, they have been discussed within academia, NGOs and policy-making circles. PCAs can be seen as a logical...

The European Union's Emissions Trading Scheme (EU ETS) is so far the largest emissions trading system in the world. A rigorous <italic>ex post</italic> empirical analysis of the scheme is presented. The effect of the scheme on firms' investment decisions in carbon-reducing technologies is analysed by using...