Below is a simple explanation of what Cap and Trade is. It removes all of the administration propaganda and cuts to the heart of what is involved in a "Cap and Trade System". Emissions trading (or emission trading) is an administrative approach used to control pollution by providing economic incentives for achieving reductions in the emissions of pollutants. It is sometimes called cap and trade. A central authority (usually a government or international body) sets a limit or cap on the amount of a pollutant that can be emitted. Companies or other groups are issued emission permits and are required...