On efficiency grounds, the economics community has, to date, tended to emphasize price-based policies - such as taxes or a safety value ceiling on cap-and-trade - to address climate change, while environmental advocates have sought a more quantitative limit on emissions. A new working paper co-written by the Nicholas Institute's Brian Murray presents a simple modification to the idea of a safety valve: a quantitative limit called the allowance reserve. The allowance reserve, Murray explains, may bridge the gap between competing interests and potentially improve efficiency relative to price-based policies. He wrote the paper with Richard Newell of Duke's Nicholas School of the Environment, and William Pizer of Resources for the Future. Their paper will be published later this year in the journal Review of Environmental Economics and Policy, and can be found now as part of the working paper series by the National Bureau of Economic Research, the Resources for the Future discussion paper series, and as a Nicholas Institute working paper here. 

Late summer is traditionally thought of as "down time" in the nation's capital as lawmakers leave town for the August break. Nicholas Institute staffers, however, have remained busy, sharing their expertise on environmental and energy issues with dozens of legislative offices, industry groups and government agencies. Among other Institute activities in D.C. in the past month:

• Lydia Olander, senior associate director for ecosystem services, and Brian Murray, director for economic analyses,  presented research on agriculture's role in mitigating climate change at a workshop convened by the American Farmland Trust, the Farm Foundation and the USDA Economic Research Service;
• Jonas Monast, co-director of the Climate Change Policy Partnership, participated in a meeting on carbon capture and storage technology led by the office of Sen. Byron L. Dorgan of North Dakota;
• Monast and his fellow co-director of CCPP, Eric Williams, joined Institute director Tim Profeta is a series of meetings on the CCPP's carbon capture, transport and storage project with policymakers in the offices of the House Natural Resources Committee; the House Science and Technology Committee; the Senate Energy and Natural Resources Committee; the National Mining Association; the offices of Senators Sam Brownback of Kansas and Debbie Stabenow of Michigan; and the offices of U.S. Representatives Bob Inglis of South Carolina, Vernon Ehlers of Michigan; Fred Upton of Michigan; Nick Lampson of Texas; and Rick Boucher of Virginia.

Each year, the Nicholas Institute and our colleagues at the Climate Change Policy Partnership offer students from Duke and other local universities the opportunity to work with us on a variety of research and outreach projects. Many 2008-09 assistantships and internships are now available. To learn more these opportunities, check out the Institute and CCCP staff directory here and contact the staff member or members who work in the policy field in which you're most interested.