In the worldwide initiatives to mitigate the effects of climate change and minimize greenhouse gas emissions (GHGs) the world is looking for instruments that can transform the climate crisis. Many countries are looking at Carbon Markets as a fragment of a solution since they remain an integral part of international climate change policies. The carbon market operates contrarily for different economies around the world. In this paper, a comparative review has been highlighted to analyze the variables on which carbon markets depend, the trading methods employed, carbon pricing mechanism, advantages, and challenges faced by a developing and developed nation for Carbon Trading Practices (CTP). In addition, the study also discusses research goals, areas of concern, and knowledge gaps related to the application of carbon credits to improve awareness of their significance in mitigating climate change. The paper also studies the development of carbon markets and emissions trading to provide insight into current events. Policies governing carbon markets would be more likely to support the transition to a low-carbon economy if they were more prepared to take previous mistakes into account when creating new policies.
Sayed et al. (Fri,) studied this question.