The advantage of a cap-and-trade system versus priced-based mechanisms, such as a carbon tax, lies in the fact that a cap puts a legal limit on pollution, while the tax sets a price under the assumption that quantity will adjust, based on the higher price. A carbon tax has the advantage of raising revenue for the government. The 2007-2008 financial crisis revealed the ease with which financial markets could be manipulated, even in the most advanced markets; hence, the risk of manipulation, market failures and distorted incentives would be extremely high in most developing countries. Moreover, with respect to getting prices right, it is likely that both carbon taxes and cap-and-trade programmes would have to be so large as to be politically infeasible (Mowery, Nelson and Martin, 2010).