Lessons for trading program design to protect water quality: A synectic analysis of air and water quality protection programs

This research focused on gaining new insights for protecting water quality through a literature review and comparative analysis of the United States (U.S.) air quality protection and market incentive-based trading programs that have benefited air quality. Sulfur dioxide (SO2) emissions have been reduced by 50 percent and at an estimated ;Economic theory offers the situation, structure, conduct and performance (SSCP) analytical framework in which to evaluate why and how markets function. The comparative analytics of synectics is used to test for similarities between two different markets-air emission allowances and water effluent credits. This analysis indicates that there are institutional differences between air and water quality policies that limit how an effluent trading program can be designed.