The emissions trading scheme is often called a:

Question

Quizplus · Accepted Answer

The emissions trading scheme, also known as carbon trading, is a "cap and trade" scheme. This means that a cap, or limit, is set on the amount of greenhouse gas emissions that can be released by covered entities (such as power plants or industrial facilities). These entities are then allowed to trade emissions permits, or allowances, amongst themselves, creating a market for emissions. The idea is that by setting a cap, and allowing trading, emissions will be reduced in a cost-effective way, since the entities that can reduce emissions more easily or cheaply will do so and then sell their allowances to those who have a harder time reducing emissions.

The Emissions Trading Scheme Is Often Called A