- The Carbon Market Challenge
- Regina Betz, Axel Michaelowa, Paula Castro, Raphaela Kotsch, Michael Mehling, Katharina Michaelowa, and Andrea Baranzini
- Cambridge University Press
- September 2022
- 100 p.
Carbon markets – both emissions trading systems and baseline-and-credit systems – are an increasingly common policy instrument being introduced to address climate change mitigation. However, their design is crucial to ensure that they deliver cost-effective emission reductions while maintaining environmental integrity. This Element puts together a comprehensive, principle-based overview of the risks and abuses to environmental integrity and cost-effectiveness that have emerged for carbon markets at all jurisdictional levels around the world, provides concrete examples, and offers effective policy and governance solutions to overcome such risks.