Event Title

Price Determinants of Sulfur Dioxide Market

Graduation Year

2015

Location

Room C102, Center for Natural Sci ences, Illinois Wesleyan University

Start Date

18-4-2015 11:00 AM

End Date

18-4-2015 12:00 PM

Description

The introduction of the U.S. Sulfur Dioxide (SO2) cap and trade market in 1994 has provided a significant approach to mitigating the hazardous effects of acid rain. The merit of the cap and trade program is within the design of the program itself because the cap determines the total SO2 emission reduction, while the trading process determines which sources reduce their emission of SO2 through the buying and selling of allowance permits. Although this milestone in environmental regulation has had an immense impact in the reduction of sulfur dioxide in the atmosphere, the focus of this research is to study the determinants that will ultimately establish the spot price for allowances. Through the use of regression analysis this paper analyzes key commodities prices, economic indicators, and environmental factors that is believed to play a primary role in the determination of allowance prices.

This document is currently not available here.

Share

COinS
 
Apr 18th, 11:00 AM Apr 18th, 12:00 PM

Price Determinants of Sulfur Dioxide Market

Room C102, Center for Natural Sci ences, Illinois Wesleyan University

The introduction of the U.S. Sulfur Dioxide (SO2) cap and trade market in 1994 has provided a significant approach to mitigating the hazardous effects of acid rain. The merit of the cap and trade program is within the design of the program itself because the cap determines the total SO2 emission reduction, while the trading process determines which sources reduce their emission of SO2 through the buying and selling of allowance permits. Although this milestone in environmental regulation has had an immense impact in the reduction of sulfur dioxide in the atmosphere, the focus of this research is to study the determinants that will ultimately establish the spot price for allowances. Through the use of regression analysis this paper analyzes key commodities prices, economic indicators, and environmental factors that is believed to play a primary role in the determination of allowance prices.