This paper illustrates different scenarios of implementing an emissions trading scheme and investigates the economic implications of diverse baseline development paths and an additional limitation or ceiling on emissions trading. The analysis focuses on the impacts of dissimilar emissions...

The Kyoto Protocol incorporates emissions trading, joint implementation and the clean development mechanism to help Annex I countries to meet their Kyoto targets at a lower overall cost. This paper aims to estimate the size of the potential market for all three flexibility mechanisms under the...

Tools for recreational resources management are topics of great theoretical and practical interest. The most commonly used tool undoubtedly is the licence or permit. The implementation of a system of licences to regulate the use of a natural resource is far from simple as it presupposes the...

This paper investigates the implications of progressively broadening the scope of the market of tradable permits from no emissions trading to full global trading. We start with the no emissions trading case where each Annex I country must individually meet its Kyoto targets. Next, we consider a...

The objective of this paper is to find out whether differences between the domestic permit allocation procedures of the Member States of the European Union (EU) will distort competition and lead to state aid in a European carbon trading market. This paper shows that it depends whether one takes...

The framework of the Kyoto Protocol, an agreement for the world's rich countries to reduce their greenhouse gas emissions, is deeply flawed. This paper explains why. The Protocol lacks essential country coverage, provides an inadequate basis for allocating emission rights, lacks provision for...