With the U.S. backing away from a cap-and-trade system, the EU Emissions Trading System (ETS) stands as a solitary, iconic, and often-criticized outpost for market-based approaches for limiting green house gas emissions. A. Denny Ellerman evaluates the performance and prospects of the EU ETS and consider whether it, and the global trading vision embodied in the Kyoto Protocol, is at a dead end or, despite all the difficulties, is still the way to an effective global climate policy. (#22632)