Definition of cap-and-trade
: relating to or being a system that caps the amount of carbon emissions a given company may produce but allows it to buy rights to produce additional emissions from a company that does not use the equivalent amount of its own allowance
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“Cap-and-trade.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/cap-and-trade. Accessed 16 May. 2022.
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The first known use of cap-and-trade was in 1995
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