http://www.etftrends.com/2009/04/why-utility-companies-arent-turned-cap-trade.html Keeping a grip on exchange traded funds (ETFs) Fri, 20 Nov 2009 16:30:37 -0800 http://wordpress.org/?v=2.8.6 hourly 1 http://www.etftrends.com/2009/04/why-utility-companies-arent-turned-cap-trade.html/comment-page-1/#comment-4109 Enirty Tue, 05 May 2009 16:41:13 +0000 http://www.etftrends.com/?p=8957#comment-4109 Giving away permits doesn't just cut down on revenue but it skews the market price for carbon. European experiences show that when you give out too many permits instead of auctioning them off the cost of carbon emissions is artificially low. The whole point of cap and trade is to set the market price so that it is financially viable to reduce carbon emissions. Giving away permits doesn't just cut down on revenue but it skews the market price for carbon. European experiences show that when you give out too many permits instead of auctioning them off the cost of carbon emissions is artificially low. The whole point of cap and trade is to set the market price so that it is financially viable to reduce carbon emissions.

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