Source: EconLog
by Scott Sumner
“What is better for the environment, selling a few cars that are 100% emission free, or selling a lot of cars that are 95% emission free? Governments are generally not very good at making this sort of calculation; hence ‘command and control’ regulations often end up being relatively inefficient. In contrast, a carbon tax encourages consumers to make the decision that is best for the economy, including the external costs of emissions.” (09/12/24)