27.11.2015 - The way forward: Second-best solutions
If the best method for tackling climate change is not on offer, try something else. Economists like to argue, about climate change as much as anything else. Some of the fiercest rows are over the discount rate—how to weigh the likelihood that future generations will be richer than the current one when deciding how much to spend on averting climate change today—and over how to price catastrophic but unlikely events such as the collapse of the Greenland ice sheet. But on the biggest issue of all they nod in agreement, whatever their political persuasion. The best way to tackle climate change, they insist, is through a global carbon tax. Politicians tend to assume that subsidising clean energy has the same effect as taxing carbon, says Ottmar Edenhofer, an economist at the Potsdam Institute for Climate Impact Research. It does not...............................................Full Article: Source
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