By way of contrast, in mitigation funding, important effectiveness and efficiency questions are
also at play. One may find it appealing on principle for developed countries to conduct most
emission abatement domestically, and technology development may be fostered by vigorous
domestic action. Yet, action may be more cost-efficient, and technology transfer may be deeper,
if there is a market element to international action. Furthermore, many studies illustrate how little excess capacity there exists in mitigation opportunities in the near term, and hence, how little
room for error the global community has in implementation. (McKinsey, 2009) The implication
may be that flexibility mechanisms are indispensable not just in terms of economic efficiency, but
indeed in terms of environmental effectiveness.