Europeans Want Climate Action But Not Higher Taxes; Reforming Carbon Markets Could Be the Answer
-
European citizens support climate action but reject higher taxes to pay for it. Carbon markets are a better solution than government mandates.
-
The EU Emissions Trading System has unintended consequences like households subsidizing big emitters.
-
It's unclear if the EU ETS actually caused the emission reductions.
-
ETSs incentivize innovation and are more efficient than government agencies picking winners.
-
Reforms are needed to prevent carbon leakage, make emitters pay fully, and incentivize direct decarbonization.