Carbon pricing is an instrument that captures the external costs of greenhouse gas (GHG) emissions – the costs of emissions that the public pays for, such as damage to crops, health care cost from heat waves and droughts, and loss of property from flooding and sea level rise –and ties them to their source through a price, usually in the form of a price on the carbon dioxide emitted. A price on carbon helps shift the burden for the damage from GHG emissions back to those who are responsible for it and who can avoid it. Hear from the stalwarts, Noble Laureate Joseph Stiglitz and Lord Nicholas on the imperative need to price carbon.
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