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U.S. Climate Policy Developments

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Author Info

  • Toshi Arimura

    ()
    (Resources for the Future)

  • Dallas Burtraw
  • Alan J. Krupnick
  • Karen L. Palmer

Abstract

This paper outlines recent developments in U.S. climate policies. Although the United States does not participate in the Kyoto Mechanism, a number of climate policies are being implemented at state level as well as at the federal level. First, we report and compare the federal cap and trade proposals in the 110th Congress. Then, the paper illustrates the current situations of state level climate policies, such as the Regional Greenhouse Gas Initiative in the northeastern states or AB32 in California. We analyze these proposals from the viewpoint of technology policies and impacts on international markets. It is found that technology policies play important roles in the cap and trade proposals and that there is a great expectation for carbon capture and sequestration (CCS) technology. In terms of the impacts on international markets, several federal proposals as well as regional programs permit trading in international markets. As emission targets become more stringent in the future, U.S. GHG emitters are more likely to interact with these markets. Thus, despite the lack of U.S. participation in the Kyoto Protocol, U.S. markets will be linked to foreign markets, at least, in an indirect way.

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File URL: http://www.rff.org/RFF/documents/RFF-DP-07-45.pdf
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Bibliographic Info

Paper provided by Resources For the Future in its series Discussion Papers with number dp-07-45.

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Date of creation: 31 Oct 2007
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Handle: RePEc:rff:dpaper:dp-07-45

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Related research

Keywords: United States; climate policy; cap and trade; the Kyoto mechanism; technology policy;

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  1. Hanemann, W. Michael, 2007. "How California came to pass AB 32, the Global Warming Solutions Act of 2006," CUDARE Working Paper Series 1040, University of California at Berkeley, Department of Agricultural and Resource Economics and Policy.
  2. Sergey Paltsev & John M. Reilly & Henry D. Jacoby & Angelo C. Gurgel & Gilbert E. Metcalf & Andrei P. Sokolov & Jennifer F. Holak, 2007. "Assessment of U.S. Cap-and-Trade Proposals," NBER Working Papers 13176, National Bureau of Economic Research, Inc.
  3. Burtraw, Dallas & Palmer, Karen & Kahn, Daniel, 2005. "Allocation of CO2 Emissions Allowances in the Regional Greenhouse Gas Cap-and-Trade Program," Discussion Papers dp-05-25, Resources For the Future.
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Cited by:
  1. Oren Ahoobim & Nick Burger & Charles Kolstad & Shaun McRae & Corbett Grainger, 2008. "Beyond the Market Advisory Committee: Proceedings from a Workshop Held at Stanford University," Discussion Papers 07-045, Stanford Institute for Economic Policy Research.
  2. Joseph E. Aldy & William A. Pizer, 2009. "Issues in Designing U.S. Climate Change Policy," The Energy Journal, International Association for Energy Economics, vol. 0(Number 3), pages 179-210.

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