Chapter 22: Moral positions on tradable permit markets
Permit trading is a preferred environmental policy instrument among economists, and has become a popular tool in environmental treaties in recent decades. The reason is that both in theory (Montgomery, 1972) and in practice (Schmalensee et al., 1998), market-based policy instruments such as permit trading have been shown to foster cost-effectiveness. However, many non-economists have not embraced permit trading as the right way to attack environmental problems, and even among economists there are many arguments for other market-based instruments such as taxation. Environmental organizations, political parties and individuals have expressed concerns about permit trading. Some of these concerns are over specific implementations of permit trading systems or more general practical obstacles to a successful permit trading. Others, however, see permit trading as morally wrong or problematic in principle. For instance, some consider it a way of avoiding one’s obligations, to pay others to clean up, or to reward indulgence; see, for example, Goodin (1994). However, concerns may vary among countries, cultures and religions. While we report results from Norway below, where people express strong concerns about permit trading, most polling shows large support for emissions permit trading in the USA.
You are not authenticated to view the full text of this chapter or article.
Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.
Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.
Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.