Carbon limiting regulations and environmental economic instruments within the framework of the green economy

This thesis study reviews the theoretic framework of green economy approach that has been gaining more and more importance in the contexts of global environment problems and climate crisis. It also analyses environmental economic instruments and carbon limiting regulations. The main goals of the study are to evaluate the effectiveness of policy instruments used in the transition process to low-carbon economy and to put forward the potential contributions of these instruments to achieving sustainable development objectives. The thesis consists of five main chapters. In the first chapter, the terms of green economy and sustainable development are discussed within the frameworks of their historical development and fundamental principles. The relation between these terms is examined in accordance with various institutional approaches. In the second chapter, the importance and urgency of emission reduction is emphasized by focusing on economic, environmental and social impacts of carbon emissions. In this chapter, the macroeconomic and microeconomic reflections of carbon cycle and carbon emissions are analysed thoroughly. In the third chapter, environmental economic instruments are discussed in detail. The design and implementation of economic instruments such as environmental taxes, renewable energy sources, incentives, subsidies and energy efficiency policies are reviewed. In the fourth chapter, within the scope of carbon limiting regulations; classification of emissions, carbon tax, carbon capture and storage technologies, carbon border adjustments, emission goals and carbon markets are evaluated in detail. Additionally, in this chapter, the differences and application areas of terms such as net zero, climate neutral and carbon neutral are explained as well. In the conclusion chapter of the thesis, the effectiveness of environmental economic instruments and carbon limiting regulations are evaluated. Moreover, the success factors in policy design and the importance of global cooperation are emphasized. Research findings indicate that the success of environmental economic instruments depends on the quality of policy design, market conditions and institutional capacity. Furthermore, the importance of developing international coordination, transparent application mechanisms and fair transition policies in order for carbon limiting regulations to be effective on emission reduction is demonstrated. This study suggests that, in the management of transition process to green economy, it possess critical importance to look out for economic, environmental and social extents evenly in order to reach sustainable development goals. It is intended for the study to be an important source for policymakers, academicians and researchers in the field of environmental economics.