« 'Who Bears Risk?' | Main | Links for 01-05-15 »

Sunday, January 04, 2015

'Let This be the Year When We Put a Proper Price on Carbon'

Larry Summers:

Let this be the year when we put a proper price on carbon: The case for carbon taxes has long been compelling. With the recent steep fall in oil prices and associated declines in other energy prices it is overwhelming. There is room for debate about the size of the tax and about how the proceeds should be deployed. But there should be no doubt that starting from the current zero tax rate on carbon, increased taxation would be desirable.
The core of the case for taxation is the recognition that those who use carbon-based fuels or products do not bear all the costs of their actions. ...
Progressives who are concerned about climate change should rally to a carbon tax as the most important step for mobilising against it. Conservatives who believe in the power of markets should favour carbon taxes on market principles. .... Now is the time.

    Posted by on Sunday, January 4, 2015 at 09:42 AM in Economics, Environment, Market Failure, Oil | Permalink  Comments (74)


    Comments

    Feed You can follow this conversation by subscribing to the comment feed for this post.

    -->