a r t i c l e i n f o The European Carbon Emissions Trading Scheme introduced in 2005 has led to both spot and futures market trading of carbon emissions. However, despite seven years of trading, we have no knowledge on how profitable carbon emissions trading is. In this paper, we first test whether carbon forward returns predict carbon spot returns. We find strong evidence on both in-sample an...

a r t i c l e i n f o This study assesses the motivation, willingness, and technical as well as managerial capacities of U.S. cities to store carbon and sell carbon offsets. Based on a national survey of urban foresters, arborists, and other officials responsible for urban forest management within U.S. municipal governments, results indicate that local governments are interested in selling carb...

I study the design of environmental policies for a regulator that has incomplete information on each ...rm’s emissions and production and abatement costs (e.g., urban air pollution in cities with many small polluting sources). Because of incomplete information on emissions, there is no policy that can implement the ...rst-best. Since the regulator can observe ...rms’ abatement technologies, how...

The Kyoto Protocol sets the carbon emission targets for 2008-2012 for the major emitting countries. Several former Soviet countries have emissions quotas that appear to be in excess of their anticipated emissions as a result of economic downturn. This excess is sometimes referred to as ”hot air”, and could, in principle, be traded with other countries. The “hot air” estimates range from 150 to ...

The European carbon emission trading market is the largest and most mature market, while China’s has a short history. Institutionally, cross-market transaction infeasible between two markets. This paper investigates long-run trend markets as well price dynamics. Results show that exists Chinese Both possess self-correction capability in reducing deviations, signaling certain level of efficiency...