European CO2 Cuts Working

| Tue Jun. 10, 2008 7:23 PM EDT

eu_Img.jpg Listen up, slacker senators. The EU's "cap-and-trade" system for carbon dioxide is working well and has had little or no negative impact on the overall EU economy. This according to an analysis for the Pew Center on Global Climate Change by MIT researchers. They conclude that although the EU Emissions Trading Scheme (pdf) was fast-tracked 3 years ago to criticism of its wobbly start, it quickly worked out its own kinks. A. Denny Ellerman, senior lecturer in the MIT Sloan School of Management, suggests the system doesn't need to be in perfect working order before start up. "Obviously you're better off having things all settled and worked out before it gets started," he said. "But that certainly wasn't the case in Europe, and yet a transparent and widely accepted price for CO2 emission allowances emerged rapidly, as did a functioning market and the infrastructure to support it. This important public policy experiment is not perfect, but it is far more than any other nation or set of nations has done to control greenhouse-gas emissions—and it works surprisingly well."

Okay, if I believed in the Imaginary Friend I might be inclined to say God Bless Europe. Instead, how about, thanks, and may our next president and our next Congress look to the Old World now and again for better ways to build a new one.

Julia Whitty is Mother Jones' environmental correspondent, lecturer, and 2008 winner of the Kiriyama Prize and the John Burroughs Medal Award.