Abstract: The initial allocation of carbon emission permission (abbreviated as IASCEP) can cause structural adjustment and income distribution effects, and has a great influence on the political feasibility and economic efficiency of a carbon trading system. It is the core issue of designing the carbon emission trading system. Researches on IASCEP focus on how to allocate carbon emission permission, allocation efficiency, effect of revenue adjustment and structure adjustment, and how to use cost control mechanism to reduce the negative effects on economic development. These researches achieve some common conclusions which can provide a scientific reference for designing carbon emission trading system. But they have some limits. Especially, the region economy development question in the area of carbon emission trading mechanism, carbon emissions trading mechanism of developing countries and the effect of carbon emission permission on economy development still need further exploration.