based allocation (Australia, California, New Zealand) and capacity based allocation (EU). This paper characterizes the best … output and capacity based allocation is proved to be the optimal second best policy. The EU scheme for 2013-2020 is discussed …, using cement as a case study. -- cap and trade ; output based allocation ; subsidization of capacity ; climate policy …

number of models, the impact of rules for primary permit allocation has so far hardly been focused on. This was mostly seen … permit allocation rules shows that the number of permits allocated to new plants often depends on their fuel and technology … generation technologies, emission constraints, endogenous investment allocation rules and price elasticity of demand. In …