The failed 2008 Lieberman-Warner Climate Security Act S. 2191/S. 3036 had adopted a Greenhouse Gas Cap and Trade System much like the European Union's (EU) Emission Trading Scheme (ETS). The EU ETS has been functioning for over three years as it enters the first phase of Kyoto applicability. As such, there is significant evidence as to the impacts a carbon trading system will have on large-scale economies, like that of the United States. This presentation will provide an overview of the EU ETS, including program specifics and applicability, and will then discuss the implications of a large scale carbon cap and trade system. The presentation will look to the results of the first period of carbon trading in Europe and draw analogies to a potential program in the United States. What impacts does a carbon trading system have on large economies? What can we learn from the three years of European data on carbon trading? And what can the United States expect from a nationwide carbon trading system based on accumulated data? This presentation will discuss these issues and attempt to provide answers to these questions which will be resurrected in the next Congressional session.