Cost containment has emerged as a major point of contention in the current congressional debate about designing a cap-and-trade program to limit future U.S. greenhouse gas (GHG) emissions. This paper reviews basic concepts and policy options for cost management, drawing on a March 2008 workshop...

Welfare comparisons of regulatory instruments under uncertainty have typically focused on price versus quantity controls. This is true even in dynamic analyses of cumulative pollutants and despite the presence of banking and to some extent borrowing provisions in existing emission trading...

The uncertainty surrounding both costs and benefits associated with global climate change mitigation creates enormous hurdles for scientists, stakeholders, and decisionmakers. A key issue is how policy choices balance uncertainty about costs and benefits. This balance arises in terms of the time...