In Switzerland there was a vote 2 weeks ago about whether we want to support a law to reduce CO2 output by our population. The law was very clear how the money would be spent: improve heating, direct pay to poor citizens, and many others. Cost: - 50 cents per gallon of gas (our gas is about 6$ per gallon) - 20$ to 100$ for a plane ticket The law was refused by 51% of Swiss citizen. What really killed me was that the…
What does direct pay to poor citizens have to do with climate change? I've always been told that the best way to do a pigovian tax is to make it revenue neutral. You collect the sin tax, but then your redistribute it based on the average level of tax collected. So someone who uses exactly the average amount of carbon sees no change in buying power. Someone who uses less than average actually sees an increase in buyin…
Americans aren't willing to pay to stop climate change
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Re: Americans aren't willing to pay to stop climate change
#62Re: Americans aren't willing to pay to stop climate change
#63Earlier quoted context omitted.
> seize all the wealth How do you propose doing that legally? Or how should the US government survive the wealthy citizen's legal assault if they were to find a loophole?
I'm not. I'm just pointing out that a massive effort requires a broad tax base. I understand everyone wants the wealthy to pay for everything, but there is quite literally not enough wealthy people in the world to begin to tackle a large problem. Everyone has to contribute
Re: Americans aren't willing to pay to stop climate change
#64Earlier quoted context omitted.
What does direct pay to poor citizens have to do with climate change? I've always been told that the best way to do a pigovian tax is to make it revenue neutral. You collect the sin tax, but then your redistribute it based on the average level of tax collected. So someone who uses exactly the average amount of carbon sees no change in buying power. Someone who uses less than average actually sees an increase in buyin…
Evenly distributing the revenue assumes the effect of the negative externality (climate change) is evenly distributed. But climate change tends to harm poorer people more than richer people, so it makes sense to distribute more revenue to them.
Sure you can rationalize it, but this is just the game of politics.
Re: Americans aren't willing to pay to stop climate change
#65In Switzerland there was a vote 2 weeks ago about whether we want to support a law to reduce CO2 output by our population. The law was very clear how the money would be spent: improve heating, direct pay to poor citizens, and many others. Cost: - 50 cents per gallon of gas (our gas is about 6$ per gallon) - 20$ to 100$ for a plane ticket The law was refused by 51% of Swiss citizen. What really killed me was that the…
Re: Americans aren't willing to pay to stop climate change
#66Re: Americans aren't willing to pay to stop climate change
#67--John Steinbeck in Cannery Row (published 1945)
Re: Americans aren't willing to pay to stop climate change
#68Re: Americans aren't willing to pay to stop climate change
#69Earlier quoted context omitted.
Evenly distributing the revenue assumes the effect of the negative externality (climate change) is evenly distributed. But climate change tends to harm poorer people more than richer people, so it makes sense to distribute more revenue to them.
Distributing the revenue is not about compensating for harms. It's about ensuring that you don't have a net impact on people who are using the typical amount of energy. The idea is that the tax captures the externalized costs of economic actions, like emitting carbon. Once the cost of the actions is fully priced in, it is reasoned, consumption will decrease to the optimal level given the harm done by consumption. The…
Re: Americans aren't willing to pay to stop climate change
#70In Switzerland there was a vote 2 weeks ago about whether we want to support a law to reduce CO2 output by our population. The law was very clear how the money would be spent: improve heating, direct pay to poor citizens, and many others. Cost: - 50 cents per gallon of gas (our gas is about 6$ per gallon) - 20$ to 100$ for a plane ticket The law was refused by 51% of Swiss citizen. What really killed me was that the…