Carbon Pricing

In recent years, more than a dozen bills have been proposed or introduced in the U.S. that put an explicit or implicit price on carbon. Most of those imposed a cap on overall greenhouse gas emissions, and established a system of tradable permits to be auctioned or distributed to emitters. Others proposed a direct tax on carbon emissions.

While the U.S. has not yet passed a carbon pricing policy, the debate continues over policy design issues including sectoral coverage, offsets, regional implications and cost containment.

CCEP researchers contribute significantly to this debate, looking at the design of both cap-and-trade policies and carbon taxes as well as related issues of competitiveness and carbon leakage.