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Answer to Question #54507 in Macroeconomics for Kelvin

Question #54507
Climate change results from particular human activities in every country across the world. To what extent can government intervention in any individual country such as Singapore be effective in combating it?
Expert's answer
The post popular governmental instruments in combating climate change in Singapore are:
- taxation of CO2 emissions;
- governmental investments into zero- or low carbon industrial technologies;
- giving tax discounts to the industries, which use low carbon technologies;
- reasonable pricing policy to encourage greater public transport usage;
- governmental sponsorship of research and development projects in energy efficiency and low carbon technologies.
Governmental economic and legislative actions in this sphere must not lead to economy recession but to the creation of a new market, which will help the country to be competitive in the future.

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