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Adverse Selection in an Opt-in Emissions Trading Program: The Case of Sectoral Crediting for Transportation
Working Paper

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Program on Energy and Sustainable Development

September 2010

Sectoral crediting mechanisms such as sectoral no-lose targets have been proposed as a way to provide incentives for emission reductions in developing countries as part of an international climate agreement, and scale up carbon trading from the project-level Clean Development Mechanism to the sectoral level.

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