The Kyoto Protocol was, in its very presence, the driving force to turn the international community toward the earnest addressing of climate change issue, especially among developed countries, and has resulted in a definite step forward today. In view of the Protocol's limited time period to end in 2012, we are now fast approaching the time to re-negotiate over a new international framework beyond 2012. The paper is constructed in a way to present the overview of Kyoto's pros and cons, and to recommend a constructive and realistic approach in designing the international framework beyond 2012. Following the introduction in Chapter 1, Chapter 2 identifies the problems embedded in the extension of current "cap and trade" regime, from the viewpoint of environmental effectiveness and feasibility. Chapter 3 analyses the pros and cons of alternative measures, including taxation, hybrid policy (combining tax and emissions trading), intensity targets, and commitment to introduce policies and measures. In Chapter 4, a "pledge (with review) and review" option is proposed as the first step toward the designing and development of a future framework that may win the participation of US and major developing countries. The epilogue briefly discusses the importance of technological innovation and diffusion, and emphasizes the need for the optimal use of globally scarce resources.

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