Carbon Markets 15 Years after Kyoto: Lessons Learned, New Challenges

Fifteen years after the signing of the Kyoto Protocol and the creation of the first major platform for carbon markest, the prospect for a unified global trading system in the foreseeable future is essentially finished. However, carbon markets are a reality and the design of carbon markets is benefiting from actual experience. The challenge now is to figure out how carbon markets can work in a much more complex world. This article in the Journal of Economic Perspectives offers a comprehensive review of the history of carbon markets to date, lessons learned and recommendations on where we can go in the near future.