Cap-and-dividend better choice - LTE to News-Leader.com
Sunday's cover story in the News-Leader raised serious questions about energy costs being passed on to consumers should cap-and-trade legislation get passed.
To reverse the catastrophic process of global warming, we must reduce the amount of carbon dioxide we're pumping into the atmosphere. The political will to do this, however, may be lacking if Americans perceive the costs to be too high.
A solution to the problem would be to employ a simpler and more effective approach -- the carbon tax and dividend. Under this system, carbon is taxed at the source and the revenue is returned to consumers through income or payroll taxes, thus offsetting higher energy costs.
An analysis from the Carbon Tax Center shows that a steadily increasing tax on carbon will actually yield better CO2 reductions than what's called for in the legislation under consideration in the Senate.
Should the cap-and-trade bill stall in the Senate, carbon tax and dividend provides a workable "Plan B" to stop global warming.
Steve Valk, Atlanta, Ga.
http://www.news-leader.com/apps/pbcs.dll/article?AID=/200908040257/OPINI...
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