Carbon Emission Allowances market and its mechanism in the carbon market economy
Part of : Αρχείον οικονομικής ιστορίας ; Vol.XX, No.2, 2008, pages 139-159
Issue:
Pages:
139-159
Author:
Abstract:
Emission Allowances market as well as the intangible good negotiations are developed in theframework of a political decision. The aim of its development is the beginning of an effort to control and reduce the effects of the greenhouse phenomenon. Its development is based on a philosophy of establishing deterioration goals to reduce greenhouse gas emissions, which, most of the UN countries exceed, contrary to the ambition of achieving reduction in greenhouse gases emissions expressed in the USA and Australia by voluntary activities and technological evolution. The American and Australian arguments lose their force after the failure of voluntary programs in the USA, while the method of exchangeable and transferable emission allowances markets and deteriorating goals gain ground for theperiod after 2012. Hard negotiations are conducted on the political level so as to persuade the USA and Australia to accept this philosophy and to validate the Kyoto Protocol so that all countries and not only the OECD ones establish a deterioration goal. Emissions market is mainly based on the three flexible mechanisms foreseen by the Kyoto Protocol, Emission Allowances trading, Clean Development Mechanism (CDM) and Joint Implementation (JI).The European Emissions trading System (EU ETS) is a dominant system in the framework of Emissions Trading mechanism in the carbon market.
Subject:
Subject (LC):
Keywords:
Department of the Business Administration, Technological Institute of Chalkida.
Notes:
JEL classification: Q2, K32
