The document discusses the EU's climate policies and their effects. It argues that the EU's cap-and-trade scheme and subsidies for renewable energy have not achieved their goals of reducing emissions or warming at low cost, and have instead increased costs, reduced competitiveness, and created unsustainable jobs. Expensive energy policies hamper economic growth and make it difficult for countries like Spain to reduce their large trade and energy deficits in the current economic crisis.

1. The European Union´s Climate Policies: The effects of the global financial crisis and other realities Dr. Gabriel Calzada Associate Professor of Economics, King Juan Carlos University President, Instituto Juan de Mariana 13th November 2008. Washington D.C.

17. The bubble bursts