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Climate Colab

Aug 5, 2014
08:24

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Some kind of futures market may be a useful adjunct to a cap-and-trade program (or even a conventional emissions cap), but this proposal does not make clear what the value of a futures contract on a carbon tax might be. It seems to assume that a fluctuating carbon tax has already been enacted. Perhaps the idea is to exempt a generator from paying a carbon tax if a remediation program is under way - but if so, it is not clear, and if not, maybe that's a better idea.
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