The particular concerns about the ecological and environmental effects of economic activities in Australia are as a result of the persistent threats posed by increased mining, rampant deforestation, increased industrial activities and uncontrolled agricultural activities which contribute immensely to high levels of greenhouse gases in the atmosphere.
The fact that economic growth is defined by the exponential function, the doubling of benefits of economic growth over time equally demonstrate the doubling destruction to natural resources in the same measure over the same period of time. Permits could be allocated by GDP per capita but this would be unfair because large counties with a low GDP will relieve smaller quotas.
Another benefit is that polluters are rewarded for cutting pollution as they can sell unused permits. Countries may be concerned that carbon emission permits are stopping their economy from growing.
Should they use an auction? Maybe they could use grandfathering allocating permits in proportion to past pollution? The government must first set the socially optimum level of pollution and divided this over a number of permits.
Permits are then allocated to polluters to let them pollute a certain amount which sums to the socially optimum level. The fact that economic growth is driven by improvements in technology and efficiency, increased innovations should be utilised to reduce the emissions of poisonous gases into the environment.
How to cite this page Choose cite format: Moreover, total emissions are bound to increase more rapidly than emissions per head in tandem with the projections that Australian population will remain positive until Garnaut Climate Emissions trading scheme essay Review, Whichever method they choose will be unfair to some firms.
Assess the benefits of using a carbon trading emissions scheme to address the problem of global warming. Conversely, polluters are penalised for polluting too much as they must buy extra permits.
Indeed, these particular sectors represent the key driving forces of economic growth. Other disasters such as rising sea levels and frequent tornadoes are also bound to occur due to global warming that result from the destruction of the ozone layer in the atmosphere.
Clearly, it is evident that accelerated economic growth in a country impacts negatively on the quality of life of both the current and future generations in the country because many natural factors of life such as the environment are not traded and measured in the market and lose value as growth occurs.
This is in itself a confirmation that effective protection and conservation of the environmental goods can be achieved tremendously through the adoption of energy efficient production strategies that will ensure environmental conservation while not hurting long-term growth rate targets.
Thus, unlike other forms of growth, technology is not bound from above. Or maybe divide the permits into equal amounts? The overwhelming pollution is as a result of combined forces of emissions of toxic gases from the power sectors, transport sectors, building sectors, industry sectors, land use sectors and land use sectors throughout the world.
Therefore, the biggest challenges that the Australian government faces in the projected implementation of the ETS is striking a balance between the two conflicting necessities. The collapse of the key components of the environment risks Australia with catastrophic calamities such as droughts and famines due to destruction of water catchments areas Garnaut Climate Change Review, As demonstrated by figure 2 see appendices major economies in the world registered high growth levels in the s and s, with the growth levels dwindling over time because of decreasing levels of raw of materials and increased competition for increasingly scarce natural resources.
Romer is in agreement with David Suzuki, a renowned scientist who warned that ecologies can only sustain typically about 1. According to Romereconomic growth could be achieved only by doing more and more of the same kind of cooking, we would eventually run out of raw materials and suffer from unacceptable levels of pollution and nuisance.
As such, any expectations for greater returns from forestry, minerals and agriculture will eventually deplete the natural resources that constitute the environment, while contributing to unabated increase in the levels of poisonous gases in the atmosphere.
Adequate supply of the environmental goods is facing continuous challenges as economic growth continues to wreck havoc on the environment. Polluters can buy or sell permits amongst themselves if they want to pollute more or less.
The most serious threat being posed by economic growth is environmental degradation which will consequently lead to global warming and depletion of non-renewable resources.
A carbon trading scheme could be imposed on firms in one country, or it could be used by different countries in a global scheme. If this scheme is being used amongst countries, rather than firms, that would mean global carbon emissions is at the socially optimum level and the effects of global warming would be mitigated.
Economic growth is a manifestation of technological change. For instance, the administration costs and equipment costs to monitor emissions may be too dear.
Consequently, wants are created, thereby converting consumers to servants rather than masters of the economy. Firstly, it may be too difficult for the government to monitor and enforce the permits. Additionally, polluters may be able to invest in technology that will help them hide their emissions from the government.
This should incentivise polluters to become more efficient and develop green technology to reduce their carbon emissions even further to profit off their permits.Carbon Trading Scheme Essay Question: Assess the benefits of using a carbon trading emissions scheme to address the problem of global warming.
Carbon trading is a system devised to limit the carbon emissions of polluters by allocating them permits to emit a certain amount of carbon dioxide. The emissions trading scheme came on the back of The Garnaut Climate Change Review which presented its draft report on 4 July (with the final report submitted in September ).
Upon receiving the draft report, Climate Change Minister, Penny Wong, issued the Government discussion paper on emissions trading, titled Carbon Pollution Reduction Green Paper. 'An emissions trading scheme is a better policy instrument than a carbon tax in tackling climate change.' Critically evaluat - Essay Example.
Comments (0). Report on Aspects of the European Emissions Trading Scheme Executive Summary The following report offers an assessment into the European Union Emissions Trading Scheme beginning with an overview of how it started and its principal design.
This essay discusses the significance of ETS in regulating the emission of greenhouse gases in the atmosphere, despite its perceived negative implications to the business sectors and the general society in. This section has information on the New Zealand Emissions Trading Scheme, the Government’s main tool for reducing greenhouse gas emissions.Download