Carbon emission trading is one of the broadly adopted methods to curb the amount of carbon emission. This paper examines the optimal decisions of retailers under cap-and-trade. We derive the optimal order lot size and retail price under cap-and-trade when the demand is an additive function or...

Exploring pathways for transitioning to clean energy to achieve climate change mitigation goals is essential. Addressing the economic impact of decarbonization options requires strategic planning to determine cost-effective CO2 mitigation strategies. The assessment of marginal CO2 abatement cost...