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Many could imagine in a very theoretical, academic sense, had they thought for a moment, that any one of the big players could fail, as soon as their particular portfolio of commitments came home to roost and market confidence evaporated.
A portfolio of commitments might emerge from a global meeting such as the UNFCCC Conference of the Parties, or a smaller number of major economies could negotiate an agreement among themselves, and then invite other countries to join.
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A portfolio of domestic commitments may be particularly well-suited to implement this principle because it allows for countries to make commitments along a continuum of stringency, rather than dividing nations into two groups as did the Kyoto Protocol.
Reversing his previous skepticism toward Mr. Obama's growing portfolio of foreign commitments, Mr. Romney now implied he would outdo him by advocating a more muscular foreign policy.
Feasibility of a Portfolio of Domestic Commitments.
Another key issue is the official legal status of a portfolio of domestic commitments.
A portfolio of domestic commitments has several advantages as the foundation of a future international climate policy architecture.
One approach we have recently examined is a "portfolio of domestic commitments," an approach which could be effective, but more flexible and politically palatable than other international arrangements.
There are several ways to construct a portfolio of domestic commitments, and negotiators have numerous levers available to tailor an agreement to meet their political, economic, and environmental goals.
The core of a portfolio of domestic commitments is agreement among a set of member countries to conform to the climate change mitigation requirements specified by their respective domestic laws, regulations, and official planning documents (the last being domestically binding in centrally planned economies).
At the Harvard Project on Climate Agreements, we outlined such a hybrid international climate policy architecture four years ago ("A Portfolio of Domestic Commitments: Implementing Common but Differentiated Responsibilities"), and we explored it further just last month in a new report ("Identifying Options for a New International Climate Regime Arising from the Durban Platform for Enhanced Action").
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