Analysis On The Emission Trading System From The Perspective Of Economics

On terms of socialism market economy, the market becomes the basic form of resources distribution. The environment is a kind of resources. The principles followed by market economy are also suitable for environmental protection. The emission trading system becomes environmental economic system overwhelmingly concerned by various countries in recent years. The appearance of which has turned the traditional environmental management system from passive and lagging-behind to vital and flourishing. As a market-based environmental pollution control system, the emission trading stimulates economy, promotes the integration of environment & economic policy, solves the contradictions between economic development and environmental protection, and facilitates a harmonious development of human & nature. This thesis attempts to probe into the emission trading system from the perspective of economics. Hereon the text will analyze the intension and attribute of the emission trading system, outline its historical development, explain the relevant economics theory and utilize it as a reference to control our country's environmental pollution. The text also compares the emission trading system with other environmental management policies horizontally. The thesis concludes by emphasizing the facing problems and related policies of the emission trading system on the establishment of it, government' s functional positioning, implementing costs, and legal system improvement, etc. The analysis shows that compared with the administration, the emission trading system helps to reduce the cost of social pollution control. Hereby, the emission trading system is a valuable environmental economic system.