(Fortune Magazine) -- What senators McCain and Obama believe about U.S. energy policy matters - hugely. To fight global warming, the next President will oversee the transition to a new, green economy, which will result in one of the biggest business transformations of the 21st century and potentially one of the largest transfers of wealth since the creation of the income tax.
Both candidates agree that a carbon cap-and-trade law is the best way to make industries reduce their emissions of carbon dioxide and other greenhouse gases that cause climate change. Under such legislation, Washington puts a cap on carbon emissions that is lowered every year, and creates permits allowing industry to emit greenhouse gases just up to those limits. McCain favors reducing America's carbon dioxide output to 60% of the 1990 level by 2050, whereas Obama sets his target at 80%.