Enacting Cap-and-Trade Will Present Challenges Under China's System - 8 views
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kylerussell on 26 Sep 15BEIJING - White House officials have lauded President Xi Jinping's anticipated promise of a national market for China in greenhouse gas quotas as a breakthrough in environmental cooperation and reform. But to work well, Mr. Xi's plan, expected to be announced in Washington on Friday, will demand big changes from a government accustomed to heavy-handed intervention and skewed statistics.
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alisimons on 29 Sep 15I really like the cap and trade idea because it ensures that the every firm is paying the maximum amount each is willing to spend to pollute the air. Firms that don't value being able to pollute as much can sell their permits and use the money to become more environmentally friendly. The cap and trade method encourages technological change that reduces the harm from each unit of a firm's product. As the article says, "The intended result is a competitive market that induces companies to devise ways to reduce emissions." The cap and trade method will hopefully relieve China of some of its pollution.
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Kako Ito on 29 Sep 15The national environmental quota set by the cap and trade announced by President Xi shows that there is some possibility of environmental cooperation from China, one of the world's most heavy polluters. The article voices the well founded skepticism of critics, who doubt that this new system will work well when it hasn't exactly taken off among the nations of the European Union; however, China's state is very different from its western counterparts. Comparatively, it can exact more control over its countries' businesses and factories, so this system just may be successful.