CO2 price and climate protection - Discussion in the Dialogue on the Economics of Climate Change

The discussion on the German government's Climate Protection Program 2030 is one topic currently discussed among climate economists. The proposal for carbon pricing on fossil fuels and its design will play a central role in climate politics over the coming years . Three questions are of particular interest: First, which form of pricing is better - a CO₂ tax or emissions trading? Second, how can such a system be designed in a socially acceptable way? And thirdly, what effect does carbon pricing have on the international competitiveness of companies?

This report summarizes current discussions and activities of the Dialogue on the Economics of Climate Change. Note that this report is only available in German.