Putting a Price on Carbon: Evaluating A Carbon Price and Complementary Policies for a 1.5° World

This research paper by the World Resources Institute argues that while a carbon price is necessary to incorporate climate costs into economic decision-making and reduce U.S. greenhouse gas emissions, it is not sufficient on its own to achieve full decarbonization by 2050. The author asserts that complementary policies are required to address market barriers, handle externalities beyond climate costs, and incentivize long-lead-time mitigation options to meet the goals of the Paris Agreement.

• A carbon price is essential for integrating the costs of climate change into economic decisions and reducing greenhouse gas emissions in the United States, especially within the electricity sector, but it cannot solve climate change alone.
• To reach full decarbonization by 2050 and meet Paris Agreement goals of limiting temperature rise to 1.5°C, carbon pricing must be paired with complementary policies that remove market barriers and incentivize long-term mitigation options.
• Deep decarbonization of the U.S. energy system by 2050 requires a three-pronged approach: increasing energy efficiency, decarbonizing the electricity supply, and electrifying end uses such as industry, transportation, and buildings.

APA

World Resources Institute (n.d.). Putting a Price on Carbon: Evaluating A Carbon Price and Complementary Policies for a 1.5° World. https://www.wri.org/research/putting-price-carbon-evaluating-carbon-price-and-complementary-policies-15deg-world

Chicago

World Resources Institute. Putting a Price on Carbon: Evaluating A Carbon Price and Complementary Policies for a 1.5° World. n.d. https://www.wri.org/research/putting-price-carbon-evaluating-carbon-price-and-complementary-policies-15deg-world.

Wikipedia

{{cite report |author=World Resources Institute |title=Putting a Price on Carbon: Evaluating A Carbon Price and Complementary Policies for a 1.5° World |url=https://www.wri.org/research/putting-price-carbon-evaluating-carbon-price-and-complementary-policies-15deg-world |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldresourcesinstitutendputting, author = {{World Resources Institute}}, title = {{Putting a Price on Carbon: Evaluating A Carbon Price and Complementary Policies for a 1.5° World}}, institution = {World Resources Institute}, url = {https://www.wri.org/research/putting-price-carbon-evaluating-carbon-price-and-complementary-policies-15deg-world}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }