cap-and-trade

[JustAlilBit]

Hi there, here is an article from a newspaper "Four years ago, in sharp contrast to the torpor and denial of the George W. Bush years, President Obama described climate change as one of humanity’s most pressing challenges and pledged an all-out effort to pass a cap-and-trade bill limiting greenhouse gas emissions." What does "cap-and-trade mean" ? =) I just found out I don't need your help anymore in this thread. :)

[Rover_KE]

Thanks for your edit, JustAlilBit, but now that you've piqued our interest, why don't you tell us what you have discovered about this phrase?

Rover

[JustAlilBit]

Sorry If I have piqued your interest. So I found out that, cap-and-trade means "Emission trading" I didn't want to pique anyone and I'm sorry =)

[5jj]

You didn't pique us; you piqued our interest.

[JustAlilBit]

You didn't pique us; you piqued our interest.

I got it without dictionary :P :)

[SoothingDave]

"Cap and trade" is the system whereby productive sectors of society are forced to purchase indulgences for the sin of emitting "poisons" like carbon dioxide.

[emsr2d2]

I must be missing something. I could only find info saying that this scheme (in the USA) is to lower the amount of CO2 emissions permitted to be put out by companies, and that that allowance will go down year by year. A company which goes over its allowance has to pay a fine.
I couldn't find anything about productive sectors of society (by which I assume you mean teachers, nurses, small local businesses etc rather than massive multinational corporations) having to purchase "indulgences" (diamond necklaces? large houses?)
Confused of UK.

[BobK]

cap = 'set a limit on'
trade = 'participate in a market of licenses to exceed that limit'.

The rest is noise.

[SoothingDave]

Have you bought any petrol or electricity made by a nurse or a local small business lately?

The "indulgences" are an analogy to the religious practice.

[emsr2d2]

Have you bought any petrol or electricity made by a nurse or a local small business lately?

The "indulgences" are an analogy to the religious practice.

Ah well, if there's a religious analogy there, I won't have recognised it.