| Emission trading has become recently more and more import in environmental regulation. In the context of controlling greenhouse gas emissions, the directive on a Europewide trading scheme for large immobile sources may be perceived as one of the most important milestones in recent years. Prior to its start, however, a number of very specific design features have to be agreed upon. In the political discussion, the question of how to allocate emission rights is considered as one of the most important issues. So far, a distribution (almost) free of charge is the option of choice. An aspect that has interestingly attracted little attention in the past is the question of how to allocate emission rights over time. This may for example be done on the basis of a... |
