Megan tackles Obama's cap and trade plan:
I think it is decidedly iffy whether congress actually passes any cap and trade system with teeth. For a cap and trade system to work, it will have to make energy more expensive at a time when incomes are declining. This will be very, very, very unpopular. I imagine the Democrats will try to get the Republicans to kill it for them, but they don't have much margin--one flipping Republican in the Senate and a few in the house should let them pass it. If the Republicans are smart, they will provide three moderate Republicans in the Senate, a few Republicans from safe seats in the House, and make the Democrats suffer the consequences of raising the price of gas and electricity. But I doubt they'll be smart; they'll do Pelosi's dirty work for her.
I'm not so sure cap-and-trade will be unpopular. Whether it's the best response to climate change is another matter.