Comment on Cap and trade: The answer to state budget crises?

Cap and trade: The answer to state budget crises?

Cap-and-trade policy was designed to address climate change by putting a "cap" on carbon dioxide emissions — issuing a fixed number of permits — and then allowing firms to "trade" those permits. Since they pay a market price per ton of CO2 emissions, firms have an incentive to find all the cheapest possible ways to cut emissions.But the suggestion to implement cap and trade in any one state within the U.S.

 

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