Pollution credits emerged from the federal Clean Air Act of 1990 (CAA) as a way for businesses to deal with the regulations that attempt to lower air pollution. The Environmental Protection Agency (EPA) and individual states have created a "cap...

Emissions trading brings the rules of the marketplace to environmental regulation. For example, a government trying to control acid rain might set a limit of ten metric tons on emissions of sulfur dioxide SO2 (which causes acid rain) in a particular...

Trade in pollution permits augments the traditional approach to environmental regulation by using market principles to control pollution. Since its inception, the program has been criticized as unfair and unfeasible. Yet the concept of trading...

A payment giving a firm the right to pollute. If the fee is too low, then it does little to prevent pollution levels from rising; if too high, it may require expensive monitoring and prevent the production of any output at...

Emissions trading (or cap and trade) is an administrative approach used to control pollution by providing economic incentives for achieving reductions in the emissions of...

Australia must place a price on carbon emissions to fight climate change, Prime Minister John Howard said Monday in an apparent softening on his refusal to join in global emissions trading.Australia, the world's largest exporter of coal, joined the United States is refusing to sign...