Comment Carbon tax carbon tax carbon tax. (Score 1) 652
Fossil fuels are cheap because their costs are externalized: the person buying the coal doesn't have to pay for the climate change. The obvious and correct solution is to internalize that cost, and put a heavy tax on carbon fuels.
My pet proposal is a carbon tax collected at the source: as the coal or oil or gas leaves the ground or enters the country. This extra cost would be passed along through the economy, raising the prices of things in proportion to the CO2 generated in making and using them. You can return the tax revenue to the people as a flat rebate, a reduced income tax rate, you can keep it to balance the budget, I don't care: run your donkey-and-elephant politics however you like, it's the environmental benefits of the strong tax disincentive that matter to me.
For the value of the tax, I propose a tax that gradually ramps up to effectively equal the current price of oil by the end of the century. This is steep enough to kill off coal power in under a decade, but otherwise would let us gradually transition to green technologies and minimize the economic shock to the economy.
One last thing: goods imported from countries that don't have a comparable carbon tax should be charged an additional tarrif when imported, to compensate for their lower tax burden.
Many Slashdotters are free-market libertarians, and find taxes disgusting. I'm right there with you, but this is not a problem the market can solve on its own. But by taxing the problem, you allow the market to find an optimal solution for you, which is much more libertarian than allowing the government to pick and choose green solutions. If on the other hand you deny that there *is* a problem, that's a whole other conversation.