Simulation analysis of the participant nations behavior in the emissions trading

This paper proposes a decision-making model of the participant nations using the reinforcement learning under uncertainty in the international emissions trading market, aim at clarifying the success conditions of the compliance mechanism in the emissions trading market. Intensive simulations have been revealed the following implications: (1) the trade of the emissions trading tended to stop that all nations set reduction commitment than 7%, and (2) it is important to give high incentive for the improvement of the participant nations behavior.