marcusmarcusrc: (Default)
[personal profile] marcusmarcusrc
The CBO director has posted a nice summary of the tenets of a good climate change policy:
http://cboblog.cbo.gov/?p=902

I appreciate the nod towards non-market solutions as well as price-based solutions (a common example of why more than just a price signal may be required is the "principal-agent" problem, where, for example, a landlord has no incentive to put in insulation because the tenant pays for the heat - or alternatively, in apartments like mine where utilities are included, I have no market incentive not to use excessive heat and or air conditioning because my landlord pays for it).
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