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📍Reducing carbon emissions, Carbon Tax or Emission Trading Scheme?

According to the IPCC report 2022, the global climate solutions for limiting global warming to less than 1.5°C are 29 times less than what the world really needs to stabilise the climate. Being one of the main challenges of the era to tackle climate change, countries have been implementing policies to reduce carbon emissions, notably the Carbon Tax and the Emission Trading Scheme.

What are they, and what are the commonalities and differences between them?

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