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Glossary of Terms

Carbon Credits
Under a scenario of carbon regulation, businesses will be able to receive carbon credits for pursuing practices that reduce greenhouse gases and help stave off global warming and climate change.

Carbon credits are especially important for agriculture, because certain land use practices help to sequester carbon in the soil. Under the right regulatory structure, farmers could get carbon credits for no-till agriculture, CRP lands, and other practices. Credits can be traded on a carbon market, such as cap and trade, or a carbon tax.

Another way to think of it - carbon credits serve as a form of carbon offsets.
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“While abrupt climate changes have occurred throughout the Earth's history, human civilization arose during a period of relative climate stability.”

– EPA website on climate science
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