GLOBAL PROGRESS IN CARBON PRICING AND TRADING MECHANISMS: MARKET TOOLS FOR ECOLOGICAL AND ENVIRONMENTAL INTEGRATION

Greenhouse gas (GHG) emissions severely challenge ecology, economic growth, and human health, significantly affecting global climate change.Hence, effective control of carbon emissions and global low-carbon transformation has become a focus of governmental strategies and research studies, which are briefly surveyed in this paper.Although the efficiency of carbon emission reduction can be improved by financially encouraging enterprises, the available market-oriented policy tools-carbon pricing and carbon trading-have not yet been optimized due to significant differences in pricing mechanisms, market stability, and economic benefits across countries.To this end, available studies on GHG, carbon emission, carbon trading, and carbon pricing were analyzed and reviewed in this paper according to the gradual deepening principle, taking into account the accuracy, credibility, and reliability of the surveyed data.Global applications of carbon trading and carbon pricing, pricing modes, and future trends were discussed in detail.Carbon trading strategies were analyzed, and the feasibility of the global carbon emission reduction via carbon market tools was explored, providing references for policymaking and academic research.