A system dynamics framework for the study of emissions trading schemes and pollution control

A December 2004 report by the National Commission on Energy Policy outlined a plan to implement a nationwide, economy-wide emissions allowance trading program governing the generation of carbon dioxide. This report models such an emissions trading program using system dynamics to verify the feasibility of the NCEP\u27s plan. The model created indicates that such a program, properly managed, can control emissions and encourage green energy use without restricting economic growth. However, careful management is required to balance economic growth with the development and implementation of alternative, low-polluting energy sources