This article proposes a strategy for reducing greenhouse gas (GHG) emissions in industrial countries, limiting the growth of emissions in developing countries, and reducing or eliminating deforestation. By combining the most useful elements of country
commitments, international emissions fees, and international marketable permits, these three goals may be achieved.
Part I of this article describes the three basic regimes and the central problems any successful regime must address. The proposed strategy, entitled “combined strategy,” is described in Part II. It consists of two components: an emissions control mechanism and a financial mechanism. Part III evaluates this strategy in tenns of specific criteria: costs, effectiveness, fairness, political acceptability, innovation and diffusion of technology, and administration and monitoring. Finally, Part IV explores, by way of example, how the strategy would work given some specific goals and assumptions.