Review:
Emissions Trading
overall review score: 4.5
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score is between 0 and 5
Emissions trading is a market-based approach to controlling pollution by providing economic incentives for reducing emissions of pollutants.
Key Features
- Cap-and-trade system
- Financial incentives for emission reduction
- Market-driven approach to environmental protection
Pros
- Encourages companies to reduce emissions
- Provides flexibility in meeting emission targets
- Creates financial incentives for innovation in clean technologies
Cons
- Can be complex to implement and regulate
- May not always lead to significant emission reductions
- Potential for market manipulation