Early Experience and Future Prospects
Edited by John Quiggin, David Adamson and Daniel Quiggin
As this book goes to press, the future of Australia's carbon price is unclear. The conservative parties have promised its abolition and replacement with a policy of 'direct action' to reduce greenhouse gas emissions, the details of which have not yet been spelt out. Regardless of the outcome, study of Australia's early experience will prove valuable. The introduction of a carbon price, set at a level higher than that of most other trading schemes in their initial stages, has been followed by reduced emissions with no detectable impact on aggregate economic activity. The problem of climate change is not going away, and any comprehensive solution must involve some form of carbon price. Nevertheless, there is a much room for debate about the way in which such a price might be implemented, and the likely impacts on various sectors of the economy. This book is a contribution to that debate.