Cap-and-Trade: Understanding and Teaching a Market-Based Approach to Natural Resource Allocation
2016
Jin, Guang | Bierma, Tom | Yang, Liangcheng
Cap-and-trade is a policy tool that is becoming increasingly popular for problems of natural resource allocation, from controlling greenhouse gas emissions, to sustaining fisheries, to reducing nutrient pollution of waterways. However, because it is based on economic market mechanisms, it can be difficult for science students, and even instructors, to understand. Games can be effective tools for conveying knowledge that is difficult to obtain through traditional lecture and reading strategies. We present a cap-and-trade, non-digital game that has been valuable in helping undergraduate applied science majors “discover” the principles of this market-based approach to natural resource allocation. The game can be easily adapted to a wide variety of natural science fields.
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