The Northeast US has a carbon-trading system. It is boosting, not hurting, state economies.

RGGI is a net economic benefit for every state involved.

When climate hawks fantasize about climate policy, they tend to imagine a sweeping, economy-wide carbon tax, set at a high and rising rate. But as a political strategy, this hasn’t much worked; political restraints have meant that no such tax has emerged in the real world.

But there is another political strategy, far more popular among actual policymakers. It goes something like this: The wise course is to start with a relatively low carbon price, targeted at sectors amenable to carbon reductions, and spend the revenue from it on things that clearly benefit the public. 

By David Roberts, Vox.