Misconceptions About Emissions Trading in Europe
Woerdman, E. and A. Nentjes, ‘Misconceptions about Emissions Trading in Europe’, in: G.B. Ramello and A. Marciano (eds.), Law and Economics in Europe and the US: The Legacy of Juergen Backhaus, New York: Springer. (Forthcoming)
19 Pages Posted: 19 Apr 2016 Last revised: 2 Dec 2016
Date Written: March 1, 2016
The debate on the European Union Emissions Trading Scheme (EU ETS) is blurred, over-simplified and sometimes misguided. There appears to be confusion about what the EU ETS should deliver, whether it is effective in doing so, and how the scheme should be characterized. In our paper we aim to correct three primary misconceptions, which would facilitate a nuanced and more precise debate on emissions trading in Europe.
Keywords: Emissions trading, EU ETS, carbon tax, innovation, cap-and-trade, performance standard rate trading
JEL Classification: D62, H23, K32, Q48
Suggested Citation: Suggested Citation