Are carbon credit markets inherently prone to fraud and manipulation?

Michael Giberson The headlines about fraud in Europe’s carbon credit trading system (2010: “Fraud Besets E.U. Carbon Trade System,” 2009: “Europol: $7.4 Billion Lost from Carbon Trading Fraud in Europe“) seem to confirm what some critics of carbon credit trading have been saying all along (2007: “Carbon Trading Open Invitation To Fraud,” 2007: “The greenhouse … More Are carbon credit markets inherently prone to fraud and manipulation?

Highly recommended read on Waxman-Markey: The Cap-and-trade Bait and Switch

Michael Giberson David Schoenbrod and Richard B. Stewart explain why the Waxman-Markey “cap-and-trade” bill isn’t, fundamentally, a market-based approach to regulating greenhouse gasses: As a candidate for president in April 2008, Barack Obama told Fox News that “a cap-and-trade system is a smarter way of controlling pollution” than “top-down” regulation. He was right. With cap … More Highly recommended read on Waxman-Markey: The Cap-and-trade Bait and Switch

A problem with market-based approaches to emission reductions

Michael Giberson Market-based approaches to regulating emissions are the new conventional wisdom, according to Robert Stavins, and it would be hard to disagree. Among proponents of regulating greenhouse gasses in the United States, the big debate is over which of two market-based approaches to regulating emissions should be pursued: emission tax or cap-and-trade. Is anyone … More A problem with market-based approaches to emission reductions

Cap-and-trade and politics

Michael Giberson From Environmental Capital, reports that selling all greenhouse gas emission permits under a cap-and-trade scheme may not be politically attractive: Europe already saw what happened when it gave away emissions permits—utilities gobbled up more than 100 billion euros in windfall profits. The pain for the consumer—i.e., the voter–will be the same whether the … More Cap-and-trade and politics

Because it is not news until it is on Comedy Central; or, carbon taxes their brains

Michael Giberson Carbon tax and cap-and-trade fun, courtesy of the Wall Street Journal editorial page and bloggers at Common Tragedies. In brief: on Monday the WSJ lead editorial complained about the distributional effects of cap-and-trade, correctly noting that the effect of pricing carbon would depend on consumption but misleadingly illustrated with a chart based on … More Because it is not news until it is on Comedy Central; or, carbon taxes their brains