Government Failure - Wood Energy Schemes and… | tutor2u Economics
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Government Failure - Wood Energy Schemes and Climate Change

An interesting BBC article here that suggests that some ostensibly environmentally-friendly advice has turned out to be exactly the opposite. In this instance, the suggestion that the use of wood pellets, or biomass, isn't as environmentally-friendly as used to be thought.

In fact, the latest Chatham House research suggests that such schemes could be environmentally unfriendly - a clear case of informational failure resulting in inefficient outcomes, not least because governments introduced subsidies for biomass, potentially increasing rather than reducing carbon emissions.

Read the research report from Chatham House

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