Functionality, Efficiency and Future of the EU ETS

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Seminar paper from the year 2013 in the subject Economy - Environment economics, grade: A-, The University of Texas at Austin (College of Liberal Arts), course: Environmental Economics, language: English, abstract: In this undergraduate research paper, the author describes how the European Union Emissions Trading Scheme (EU ETS) works and shows that the "cap and trade" system leads to inefficient outcomes due to over-allocation and price volatility.