Why Not? Ctd

Yael Borofsky and Jesse Jenkins respond to Avent's suggestion that we put a $5 tax on every barrel of oil:

Instead of raising energy prices, the point of the gas tax should be to raise revenues. In fact, a $5 gas tax could raise about $40 billion annually, as Avent notes, without consumers feeling much financial pain at all. These revenues could then be dedicated to the kind of public-private partnership that has successfully catalyzed private sector entrepreneurialism and innovation and delivered transformational technology investments throughout America's history.

There is little historic evidence that marginal price signal changes can spur significant innovation -- after all $5 gas taxes throughout the EU haven't given Europeans affordable electric cars or bio-fuel alternatives.

I think the fiscal necessity is increasingly argument enough. And Europe is far further ahead on non-carbon energy than the US at this point, so perhaps those hints at industrial policy are not dispositive.

2006-2011 archives for The Daily Dish, featuring Andrew Sullivan

Join the Discussion

After you comment, click Post. If you’re not already logged in you will be asked to log in or register.

blog comments powered by Disqus

Video

The Best 71-Second Animation You'll Watch Today

A rock monster tries to save a village from destruction.

Video

The Case for Napping at Work

Most Americans don't get enough sleep. More and more employers are trying to help address that.

Video

A Four-Dimensional Tour of Boston

In this groundbreaking video, time moves at multiple speeds within a single frame.

Video

Who Made Pop Music So Repetitive? You Did.

If pop music is too homogenous, that's because listeners want it that way.

Video

Stunning GoPro Footage of a Wildfire

In the field with America’s elite Native American firefighting crew

Just In