Thursday, August 4, 2011

Problem/Solution essay on global warming?

One thing you might put for 1 is a revenue-neutral (or at least nearly revenue neutral) fossil carbon tax. Putting an additional price on fossil fuels would encourage everyone to conserve them, and/or develop alternatives such as solar, biofuels, geothermal, wind, and so forth. If you make it revenue neutral (that is, you reduce some other tax by as much as the carbon tax brings in), then conservatives and Libertarians can't really fight it on the grounds that it "increases government power". One objection to carbon taxes is that they can be regressive (tax poorer people more, relative to their income, than richer people), but if they are used to replace some or all of a regressive tax like FICA...

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