Cap-and-Trade

In an effort to combat global warming around the world, Mexico has joined the multitude of countries now starting a carbon trading market as the crucial part of a cap-and-trade program. This cap and trade program works as follows. There is a limit put on these companies as to how much carbon emissions allowed to escape into the environment. Each company then will have this limit, and those companies that fall below this limit are then allowed to sell the amount that is not being used to a company that is going over the limit. The large scale goal for these programs is to cut in half the amount of carbon-dioxide outputs by 2050, as Mexico's Director of Environmental Issues, Godinez Rosales said.  The main motivation behind these programs is to cut back on the amount of greenhouse gases going into the atmosphere.  The real questions is whether or not it will work to sieze that which caused the problem in the first place, commodity fetishism without a regard for anything else, and use it to turn back the problem.  By using the incentive of the market place, they are motivating the companies with regard to profit.  “We want companies to see climate change as a growth opportunity and a way to improve competitiveness" said Rosales

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