I was all set to write a blog this week about the recent enactment of a fairly comprehensive cap-and-trade program in California.  But then, my mentor Rob Stavins, sent around his blog and I realized there was probably no point in re-writing what he had done so well.

So I link you to Professor Stavins’ blog where he discusses a recent paper he wrote with Professor Joe Aldy (double-Dukie) that examines several different options for pricing carbon. The paper looks in detail at regional initiatives such as the one just enacted in California.

<For students, if you want credit for you comments, please come back here to make them.  If you leave comments on Professor Stavins’ blog, the graders won’t necessarily find them.>