All of this shows the extent to which climate change and environmental measures can affect economic activity, assets and jobs. Europe offers a unique opportunity to combat climate change and so reduce the potential damage to the economy. Europe can provide well-coordinated instruments and clear, reliable regulation, such as the Europe-wide carbon floor price.
The European emissions trading scheme with fixed caps on emissions is the first and largest of its kind worldwide. As one of the three largest economic blocs in the world, Europe can be at the vanguard of the fight against climate change. Europe has long campaigned internationally for strong and binding targets.