Public acceptability of personal carbon trading and carbon tax
Climate change is one of the greatest challenges confronting the international community requiring action to achieve deep cuts in carbon emissions. The implementation of potentially uncomfortable but necessary policy measures is, though, critically dependent upon public acceptability. This paper reports a novel application of stated preference techniques to explore the influence of key design attributes on the acceptability of a personal carbon trading scheme in isolation and when compared to a carbon tax. Illustrative forecasts from the models developed indicate the importance of design attributes, especially the basis of the initial permit allocation for personal carbon trading and the use to which revenues are put for carbon tax. Results indicate that the "best" scheme designs could be acceptable to a majority of respondents.
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