Source: http://finance.yahoo.com/news/u-n-aviation-body-reaches-190028348.html;_ylt=A2KJNTvua1NSbHYAFSbwFAx.
Plane forming smoke patterns from engines.
As global warming become increasingly concerned world-wide, a lot of industries tried to play their “social responsibility” which is known not existance, unless it was an individual act; the only social responsibility of business is to earn profits while following the law and basic ethical customs, else the Executive would go aginst the shareholders will.
Therefore, in order to ensure the social responsibility is achieved, regulations are required in order to force the businesses ot minimise their negative externalities.
By enforcing such regulations Like Emission Trading System (ETS) will add variable costs to the company, as it penalise every single flights performed. This is an act of imposing tax.
Imposing tax, which was suppose to target businesses to become more efficient, its ultimate burden is at the expense of employee and customer. Either they will cut cost by reducing the employees or dismissing employees as profit margin has narrowed, or at the customer will bare partial if not most of the cost through the form of Surcharge in this case.
As Clarisa’s blog (https://blogs.ubc.ca/clarisamadilao/2013/09/26/corporate-ethics-are-outrageous-ex-ceo-payouts-justified/) commented, in such a complicated world, ethics may only be practised voluntarily, or by law.