configuration characteristics unique to each region studied, computer
simulations bring the general results of theory into sharper focus. The
final source, actual emissions trading transactions, allows us to study in
some detail how the program has worked in practice. Areas singled out
for special attention include the degree to which costs have been reduced, compliance with the regulations has been improved, pollution
concentrations have been lowered, and technological progress has been
stimulated.The remainder of the book is divided into three parts. The first part,
consisting of chapters 2 and 3, lays the groundwork for the detailed
analysis in the succeeding chapters by examining the concept of emissions trading unencumbered by implementation details. Chapter 2 develops the theory behind the emissions trading program, while chapter 3
estimates the magnitude of potential cost savings that could accrue to
well-designed applications of this concept.The next portion of the book is concerned with evaluating the manner
in which the emissions trading program has coped with a number of
practical implementation problems. Chapter 4 opens this section by
examining how the location of the emissions is treated in emission
trades. Since the financial burden borne by sources turns out to be quite
sensitive to the pretrade allocation of control responsibility, chapter 5
explores this issue in some depth. The last three chapters in this section
cover the potential for and consequences of market power, emissions
timing, and enforcement of the permits.The final section of the book, chapter 9, weaves together the insights
gained from the individual topic-by-topic examinations of the program
to form a comprehensive evaluation. This evaluation serves as the basis
for a series of specific recommendations on how the program could be
| National Commission on Air Quality. 1981. To Breathe Clean Air ( Washington,
D.C., U.S. Government Printing Office).|
| Noll Roger. 1971. Reforming Regulation: An Evaluation of the Ash Council
Proposals ( Washington, D.C., Brookings Institution).|
| Stone Alan. 1982. Regulation and Its Alternatives ( Washington, D.C., Congressional Quarterly Press).|
| White Lawrence J. 1981. Reforming Regulation: Processes and Problems ( Englewood Cliffs, N.J., Prentice-Hall).|
Questia, a part of Gale, Cengage Learning. www.questia.com
Book title: Emissions Trading, an Exercise in Reforming Pollution Policy.
Contributors: T. H. Tietenberg - Author.
Publisher: Resources for the Future.
Place of publication: Washington, DC.
Publication year: 1985.
Page number: 13.
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