The Case for a Carbon Tax

Getting Past Our Hang-ups to Effective Climate Policy

There's a simple, straightforward way to cut carbon emissions and prevthe mdisastrous effects of climate change-and we're rejecting it because of irrational political fears. That's the central argumof The Case for a Carbon Tax, a clear-eyed, sophisticated analysis of climate change policy.

Shi-Ling Hsu examines the four major approaches to curbing CO2: cap-and-trade; command and control regulation; governmsubsidies of alternative energy; and carbon taxes. Weighing the economic, social, administrative, and political merits of each, he demonstrates why a tax is currently the meffective policy. Hsu does not claim that a tax is the perfect or only solution-but that unlike the alternatives, it can be implemented immediately and paired effectively with other approaches.

In fact, the only real barrier is psychological. While politicians can pressubsidies and cap-and-trade as "win-win" solutions, the costs of a tax are immediately apparent. Hsu deftly explores the social and political factors that prevus from embracing this commonsense approach. And he shows why we must get past our hang-ups if we are to avert a global crisis.