'An emissions trading scheme is a better policy instrument than a Essay

An emissions trading scheme is a better policy instrument than a ampere-second tax in tackling climate change. Critically evaluat - Essay ExampleTwo of the most widely accepted instruments in this regard are Emissions Trading Scheme and Carbon Tax (Van Asselt, 2010, p.126). Both of them are world utilized by the government in order to reduce toxic emission in the innate environment. However, the government has only limited the amount of emissions rather than solving this issue from the roots. Emissions trading scheme allows the industries to throw out a certain amount of pollutants in to the air. It is basically a market based approach which is support by economic incentives (Cass, 2005, 38). When a firm successfully reduces its emission of pollutants then it is most likely set by the government. In contrast to this the carbon tax is a mere pricing strategy consort to which households and firms are supported to control taint with the implementation of various technologies and plantation. In this case the firms have to accept a certain amount of tax because of burning fossil fuels or causing gas pollution (Eckersley, 2010, p. 367). This paper aims to critically evaluate the effectiveness and efficiency of both the pollution controlling strategies while funding the claim that emissions trading scheme