by Mark Thoma, University of Oregon (Department of Economics)

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Someone on the Internet is Wrong...

Posted on June 04, 2008

Tyler Cowen defends Robert Samuelson:Cap and trade vs. carbon tax, by Tyler Cowen: Robert Samuelson writes: Unless we find cost-effective ways of reducing the role of fossil fuels, a cap-and-trade system will ultimately break down. It wouldn t permit satisfactory economic growth. But if we re going to try to stimulate new technologies through price, let s do it honestly. A straightforward tax on carbon would favor alternative fuels and conservation just as much as cap-and-trade but without the rigid emission limits. A tax is more visible and understandable. If environmentalists sti...

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budget , economic models , economy , gas , gdp , inflation , oil , output , tax