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The US SO2 Auction: a Policy Recommendation for Future Auctions

Author

Listed:
  • Christensen, J.L.
  • Svendsen, G.T.

Abstract

An annual discriminative and revenue-neutral auction is linked to the new Acid Rain Program which allows electric utilities all over the US to trade SO2 emission permits. This innovative SO2 auction distributes 2% of the permits in circulation and takes place at the Chicago Board of Trade.

Suggested Citation

  • Christensen, J.L. & Svendsen, G.T., 1998. "The US SO2 Auction: a Policy Recommendation for Future Auctions," Papers 98-15, Aarhus School of Business - Department of Economics.
    • Handle: RePEc:fth:aascbu:98-15
    as

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    More about this item

    Keywords

    AUCTIONS ; POLLUTION ; ENVIRONMENT;
    All these keywords.

    JEL classification:

    • Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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