Researcher ORCID Identifier
0009-0003-1117-2676
Graduation Year
2025
Date of Submission
4-2025
Document Type
Open Access Senior Thesis
Degree Name
Bachelor of Arts
Department
Environment, Economics, and Politics (EEP)
Reader 1
Shanna Rose
Terms of Use & License Information
Rights Information
2025 Maxwell Feldman
Abstract
The growing urgency of climate change demands actionable solutions to reduce greenhouse gas emissions, particularly from corporations with significant environmental footprints. This thesis examines the role of cap-and-trade systems in promoting corporate accountability for emissions reductions, analyzing how market-based mechanisms can incentivize companies to transition to lower-carbon operations. While these systems offer flexibility and economic efficiency, their effectiveness is largely contingent on robust design, stringent enforcement, and transparency. Drawing on case studies from the European Union, California, and China, this paper explores the strengths and weaknesses of existing emissions trading systems (ETS), focusing on how these markets balance environmental goals with economic interests. It also evaluates the impact of political and corporate lobbying on the integrity of these systems, identifying critical design elements such as allowance allocation, penalty structures, and monitoring frameworks that influence the success of cap-and-trade programs. Ultimately, the thesis concludes that while cap-and-trade has the potential to drive meaningful emissions reductions, its success hinges on its design and enforcement, and it must evolve to address emerging challenges in global climate governance.
Recommended Citation
Feldman, Maxwell, "The Role of Cap-and-Trade in Corporate Accountability: Evaluating the Effectiveness and Challenges of Emissions Trading Systems" (2025). CMC Senior Theses. 3990.
https://scholarship.claremont.edu/cmc_theses/3990
