IASS: Carbon Pricing’s Disappointing Effect on the Pace of Technological Change

In order to achieve the goals of the Paris Agreement, the world must reach net-zero carbon emissions by 2050. Carbon pricing – recently introduced in Germany for transportation and heating – is viewed by many governments and experts as the most important climate policy instrument. However, a new study shows that carbon pricing has been less effective as a driver of technological change than was previously anticipated.

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