Law Commons^™

Betting On Climate Policy: Using Prediction Markets To Address Global Warming, Gary M. Lucas Jr, Felix Mormann

Faculty Scholarship

Global warming, sea level rise, and extreme weather events have made climate change a top priority for policymakers across the globe. But which policies are best suited to tackle the enormous challenges presented by our changing climate? This Article proposes that policymakers turn to prediction markets to answer that crucial question. Prediction markets have a strong track record of outperforming other forecasting mechanisms across a wide range of contexts — from predicting election outcomes and economic trends to guessing Oscar winners. In the context of climate change, market participants could, for example, bet on important climate outcomes conditioned on the …

The Clean Power Plan: Issues To Watch, Robert L. Glicksman, Emily Hammond, Alice Kaswan, William Buzbzee, Kirsten H. Engel, David M. Driesen, Victor Byers Flatt, Alexandra B. Klass, Thomas Owen Mcgarity, Melissa Powers, Joseph P. Tomain

GW Law Faculty Publications & Other Works

Although the Clean Air Act is an imperfect tool for addressing the nation’s greenhouse gas emissions, it is the only available federal mechanism for directly addressing power plant carbon emissions. The Obama Administration’s Clean Power Plan, published in final form in August 2015, tackles the challenge. This paper from the Center for Progressive Reform (CPR) compiles 13 separately authored essays from 11 CPR Member Scholars, each addressing a different topic related to the Clean Power Plan, and each representing the expertise and views of its individual author(s). Published in July 2015, just before the release of the final rule, the …

Coal Pollution And Climate Change, Alan Ramo

Publications

No abstract provided.

The California Offset Game: Who Wins And Who Loses?, Alan Ramo

Publications

California is implementing the most comprehensive global warming regulatory program in the United States. A key part of this program is its cap-and-trade system. Integral to the cap-and-trade requirements are provisions for offsets, whereby companies, to meet their caps, can purchase credits from certain unregulated entities whose activities are deemed to have resulted in real and additional emission reductions. California has attempted to avoid the Kyoto Protocol's project-by-project lengthy and problematic review of offsets with a performance standard approach for domestic offsets and a sector approach for international offsets. Offsets, even if done right. raise serious environmental justice questions as …

Unilateral Climate Regulation, James W. Coleman

Faculty Journal Articles and Book Chapters

It is now plain that decades of negotiation toward a binding global climate treaty have failed. Yet, at the same time, many nations are adopting a range of unilateral policies to address climate change. The existing literature on climate policy neglects these unilateral climate regulations because it focuses on the necessity and possible design of a multilateral climate treaty. But these domestic regulations present a unique puzzle: given that climate outcomes are determined by global emissions, and that unilateral regulations inevitably influence incentives to regulate elsewhere, how can domestic action achieve the greatest marginal reduction in global emissions? In other …

A Flaw In California's Cap-And-Trade Plan, Alan Ramo, Janet Redman

Publications

California has made clear its intention to reduce greenhouse gas emissions. But is it taking the right steps to do so? The state has set a goal of returning to 1990 emissions levels by 2020. It has adopted renewable energy standards, driven the national trend in controlling automobile emissions and instituted a cap-and-trade program aimed at curbing climate pollution from power plants, refineries and other "stationary sources" of emissions. But a low-profile bill scheduled for consideration by the Legislature next year has exposed that, at least as far as its cap-and-trade program is concerned, California may be off-track. As it …

Requirements For A Renewables Revolution, Felix Mormann

Faculty Scholarship

This Article identifies and analyzes the obstacles presently barring the rise of renewables, evaluates the role of the current policy favorite emission pricing, and offers design recommendations for a comprehensive U.S. renewables policy.

Successful climate change mitigation requires a timely shift to renewable sources of energy, such as sunlight, wind or tides, to decarbonize today’s high-carbon electricity sector. But market pull alone is not strong enough. This Article discusses the most widely cited economic barriers and identifies and evaluates additional obstacles related to the electricity sector’s regulatory framework.

Emission pricing is largely considered the most efficient policy to drive the …

Failure To Launch, Alan Ramo

Publications

No abstract provided.

A Prediction Market For Climate Outcomes, Shi-Ling Hsu

Scholarly Publications

This Article proposes a way of introducing some organization and tractability in climate science, generating more widely credible evaluations of climate science, and imposing some discipline on the processing and interpretation of climate information. I propose a two-part policy instrument consisting of (1) a carbon tax that is indexed to a “basket” of climate outcomes, and (2) a cap-and-trade system of emissions permits that can be redeemed in the future in lieu of paying the carbon tax. The amount of the carbon tax in this proposal (per ton of CO2) would be set each year on the basis of some …

Public Trust Limits On Greenhouse Gas Trading Schemes: A Sustainable Middle Ground?, Karl S. Coplan

Elisabeth Haub School of Law Faculty Publications

There is a some consensus among economists, environmentalists, and politicians that some form of “cap and trade’ program is the appropriate regulatory mechanism to achieve the greenhouse gas emissions reductions necessary to avoid disastrous global climate disruptions. “Cap and trade” programs necessarily incorporate tradable emissions rights – essentially tradable rights to pollute. As such, they run into principled objection by some environmentalists who oppose the notion of creating economic rights in the global commons – essentially the “right to pollute.” This principled objection derives doctrinal support from the public trust doctrine – the ancient notion rooted in common law and …

International Climate Negotiations: Opportunities And Challenges For The Obama Administration, David Hunter

Articles in Law Reviews & Other Academic Journals

This article is a discussion of the international dimensions of climate change policy facing the newly-elected Obama Administration, focusing on the Kyoto Protocol and subsequent Bali Road Map and Bali Action Plan. The Bali Action Plan set out a framework for negotiating a post-Kyoto agreement with binding commitments on all parties. The agreement is due to be finalized at the United Nations Framework Convention on Climate Change (UNFCCC) meeting in Copenhagen in December 2009, leaving the Obama Administration less than a year to shape its international climate policy and promote that policy effectively in the international negotiations.

The article addresses …

Why And How To Tax Carbon, Michael Waggoner

Publications

Increased concern about possible global warming due to rising levels of greenhouse gases such as carbon dioxide ("CO2") suggests the need to control emissions of CO2. This article explores a system of revenue-neutral carbon taxes as a supplement or alternative to other CO2 control systems such as subsidies, regulation, and cap-and-trade. A system of carbon taxation should be, the Article suggests, sufficiently fairer and simpler and more efficient than the other possible systems of CO2 control and that it merits serious consideration. Because the carbon tax that is suggested would be revenue neutral, it should be politically acceptable. Problems with …

Reducing Emissions From The Electricity Generation Industry: Can We Finally Do It?, Shi-Ling Hsu

Scholarly Publications

No abstract provided.