Research Direction for Carbon Pricing Studies Aimed at a Decarbonized Society

Abstract

The Paris Agreement and the IPCC’s Special Report on Global Warming of 1.5°C have raised global awareness of the necessity to achieve decarbonization, i.e. net zero GHG emissions. It is increasingly recognized that a transformation of socio-economic systems is inevitable if a decarbonized society is going to be achieved. Carbon pricing has attracted widespread attention as an effective policy instrument for achieving a decarbonized society, but only a limited number of studies have focused on how carbon pricing can contribute to such a socio-economic system transformation. This paper discusses research direction for carbon pricing studies from the viewpoint of both the role of carbon pricing in achieving such a system transformation and the potential impact of such a transformation on carbon pricing.