The Tropical Forest Forever Facility (TFFF) uses a clever economic design. It offers a small payment ($4/hectare) for existing forests but imposes a massive penalty ($400/hectare) for any destroyed. This focuses financial incentives on the margin, where deforestation actually occurs, making the program more cost-effective.
While a major contributor to emissions, the agricultural industry is also more vulnerable to climate change impacts than almost any other sector. This dual role as both primary cause and primary victim creates a powerful, intrinsic motivation to innovate and transition from a "climate sinner to saint," a dynamic not present in all industries.
A randomized trial in Surat, India established a pollution market for industrial plants. Contrary to assumptions that such systems are too complex for developing countries, the program reduced emissions by 20-30% while also lowering compliance costs for firms, providing a successful proof of concept.
After discovering the 'Winner's Curse' was causing them to overpay for oil leases, Arco engineers faced a problem: bidding less meant losing auctions. Instead of illegal collusion, they published a scientific paper on the phenomenon. This educated their competitors, reducing the likelihood of anyone overbidding and making the market more rational.
While often romanticized, a widespread shift to pre-industrial, low-yield organic farming would be a climate disaster. The core environmental problem of agriculture is land conversion. Since organic methods typically produce 20-40% less food per acre, they would necessitate converting massive amounts of forests and wildlands into farmland, releasing vast carbon stores.
The way we grow food is a primary driver of climate change, independent of the energy sector. Even if we completely decarbonize energy, our agricultural practices, particularly land use and deforestation, are sufficient to push the planet past critical warming thresholds. This makes fixing the food system an urgent, non-negotiable climate priority.
Setting rigid global warming limits (e.g., 2°C) creates a finite carbon budget. Since most future emissions will come from developing countries, these caps effectively tell poorer nations they must cut projected emissions by up to 90%, forcing them to choose between development and global climate goals.
Unlike wildlife conservation, which prioritizes non-interference, preserving agrobiodiversity requires consumption. Reviving, cultivating, and herding ancestral grains and livestock creates a market and an economic incentive for their survival, following the principle: "to save it, you've got to eat it."
A landowner's attempt to intimidate hunters with a $9 million lawsuit backfired. The sum was so large it felt absurd, causing the defendants to view it as a "financial apocalypse" they couldn't possibly pay. This removed the fear a smaller, more plausible fine might have instilled, strengthening their resolve.
The dominant economic model pursues endless growth, often at a human or planetary cost. Donut Economics reframes the goal entirely: create economies that allow humanity to thrive by meeting essential needs while respecting planetary boundaries, irrespective of continuous GDP growth.
The popular idea that regenerative agriculture can reverse global warming by sequestering carbon in soil is mostly a fantasy. Measuring and verifying soil carbon is difficult, its permanence is questionable, and it's being used by corporate polluters to "offset" emissions through flawed carbon markets, distracting from real, proven solutions.