Americans aren't willing to pay to stop climate change
mleverything.substack.com
mleverything.substack.com
Cost:
- 50 cents per gallon of gas (our gas is about 6$ per gallon)
- 20$ to 100$ for a plane ticket
The law was refused by 51% of Swiss citizen.
What really killed me was that the youngest part of the population, the ones who will be the most impacted by the climate crisis, voted the strongest against it. Switzerland being one of the richest countries, I cannot understand how an increase of 10% on luxury items (plane tickets) can have this impact.
Funny story: now that the law has been refused, the oil companies announced a 15% increase of the gas price... Nobody is protesting so far.
Young people by definition have had the least opportunity to accumulate any wealth. Why is it surprising that people with the least money are the hardest hit by price increases?
That aside, I don't see from the spend breakdown how it reduces CO2 output. Or, more importantly, how it reduces industrial CO2 output.
The idea here is to allow the cost of decisions to be felt in the wallet, but not hurt the spending power of those who are making climate-conscious purchasing choices.
The biggest problem with this idea is that we don't really know what the costs are going to be.
In practice, poor people would be beneficiaries of a externality-capturing tax, because by and large, rich people use a lot more carbon. More flights, bigger cars, bigger houses, etc.
It becomes a big political fight over how much of the revenue should be directed to social programs, so the tax policy changes every 4 years. A straight rebate gets wide support and taking it away becomes more and more unpopular as people get used to receiving it.
You have a popular bill and you shove something politically unpopular in it, in hopes it will pass anyway.
The purpose of such a tax would be to prevent climate change by discouraging "needless" activities. Want to take your 10th vacation this year by flying 500 miles? Maybe if the ticket was $20 more expensive that prevents some people, at the margin. If such a tax is gradually increased each year and alternatives get cheaper each year (direct carbon capture, electric cars, renewable energy), then eventually a society will be carbon-sustainable with much less harm to the people at the bottom of the ladder.
You were lied to. The best sort of pigovian tax scheme, you collect the tax from those that can pay it. And use the money to help those that can't do what you need them to do.
AKA. Put an excise tax on new gasoline cars. Because someone that can afford a new car can certainly pay the tax. Do the same with business leasing cars. Use the money to fund programs to get poor people out of their gasoline cars and into electric ones.
A gas tax on the other hand will be perceived correctly by poor people as a rubber hose that hurts them a lot. And wealthy not at all.
Consider it an inheritance to match their quality of life.
For any movement on fighting climate change, you have to deliver short term results. Investing in technology is the clearest path to doing this. Clean power generation, optimized fuel efficiency, and most importantly, carbon sequestration are things that can make a real difference for the climate and also provide economic ROI. I don't understand why this isn't the larger focus. Where's the "Manhattan project" proposal for carbon sequestration?
What does "improve heating" mean?
How does "direct pay to poor citizens" help climate change?
Perhaps the law wasn't really about climate change, but was another one of those times where policy someone wanted anyway was being pushed with climate change as an excuse.
In any case I can't form an opinion on this vote result without knowing what was actually being voted on.
Not Swiss, so this is mostly conjecture, but what is usually included in those types of proposals is to improve housing insulation and the heating network ( in the case of central heating, either per building or more central) making them more efficient, thus requiring less energy to achieve the same effect ( people aren't cold in their homes).
As an American, in a well paying IT job, I'd pay $100 IF IT WOULD STOP CLIMATE CHANGE. However, I don't believe the $1, or $40, or $100 is going to do anything. It's far more complex than that.
It reaffirms one of my maxims... beware the worthless survey.
> _Suppose a proposal was on the ballot next year to add a monthly fee to consumers’ monthly electricity bill to combat climate change. If this proposal passes, it would cost your household $10 every month. Would you vote in favor of this monthly fee to combat climate change, or would you vote against this monthly fee?_
My utility company can barely run their billing website. Paying them $40 a month to "combat climate change" sounds like throwing money into a hole. So no, I wouldn't do that.
Would I vote for legislation that would redirect subsidies from fossil fuels to clean energy sources? Yes! Would I vote for legislation that would place limitations on the production of plastics, even if it meant raising the price of consumer goods? Probably!
I know, I know, there's complexity in these issues, but my point is that I'd be willing to pay more to combat climate change. I'm just picky about who I'm paying it to, whether the costs will be distributed justly, and what they plan to do with that money.
FWIW, there are actually fewer "subsidies" to fossil fuels that could actually be redirected than most people here think. When you read HN articles and comments on the "fossil fuel subsidies", in my experience the bulk of these is "fossil fuel has this and that externality, and users of fossil fuels don't have to pay for it, so we count it as a subsidy". Whether you agree that this actually counts as subsidy or not, it's not like you can redirect it.
There's about ~144.3M taxpayers in the US [2]. If each of us paid $1200 per year, that's ~$173Bn per year [3].
Considering that a nuclear reactor only costs $9Bn to build - that's 20 per year [4]. Considering that there are only 60 in the US currently, and that's about 20% of all electricity generation, and that Nuclear isn't the most efficient form of energy generation - we should be able to replace ~7% of dirtiest energy sources per year.
~7% * 25% = ~1.75% reduction in greenhouse gases (at least). Considering that we need to cut emissions by 60% by 2050 - in 30 years, this would be ~52%, and this is definitely not the most efficient method... It's reasonable to think this is actually enough.
However - considering the average taxpayer's Federal tax bill is about ~$8k - good luck convincing them to increase that by 15%. If you make ~$150k, this would be an extra ~$4k per year in Federal taxes.
If you're in the top 1% - and you make $450k - it would be an extra ~$19k per year...
[1] https://www.epa.gov/ghgemissions/sources-greenhouse-gas-emis...
[2] https://taxfoundation.org/publications/latest-federal-income....
[3] https://www.wolframalpha.com/input/?i=100*12*144300000
[4] https://www.wolframalpha.com/input/?i=100*12*144300000%2F900...
But you have to look at the decaying grid as well (another plus for Natural Gas because you could afford to do both). A lot of the power generation is lost in the grid. If you invested there, the current generation facilities could operate more efficiently and you could shutdown the dirtiest/least efficient ones over time.
[1] https://finance.yahoo.com/news/natural-gas-fired-power-plant...
[2] https://www.eia.gov/totalenergy/data/browser/index.php?tbl=T...
I would even argue that this might be a more honest framing than the survey. Raising taxes on the poor really isn't done, but it is at least politically viable to raise taxes on the rich from time to time. Asking someone who makes 30k whether they'd pay $500 to stop climate change isn't even relevant, because they're not the ones who would be footing the bill. The more honest question would be, "Shall we have Buffett, Gates, and Bezos pay $500 on your behalf to stop climate change?" I suspect the answer to that survey would be more positive.
The internet has revealed us to be very picky shoppers. We do a lot of comparison shopping, looking for the "best" deal on the silliest item. That same skepticism applies to policies, even effective ones. I want to fund the best ideas, and the best ideas should be backed by compelling models and, ideally, empirical evidence.
There's something to be said for the VC mindset here: funding many things, each of which has a low probability of succeeding, and using unicorns to subsidize numerous losses. Tax payers don't like losses, but an example of something kind of similar that the government already does today is science funding.
I couldn't agree more with that.
I think its a reasonable question and in line with what practical measures governments are making today to raise money to combat the issue. Maybe you don't believe in the political process to fix handle this issue, but there really isn't another option. And if you really think there's a good chance that the world will end in the next 100 years, why wouldn't you be willing to throw quite literally a few dollars at it?
We just are not good at anything in the US at this point that requires more complexity than a 280 character slogan.
Take the low estimate of $51 trillion over a decade so $5 trillion per year.
> The top 1% of Americans have a combined net worth of $34.2 trillion, according to Federal Reserve data last updated Oct. 19, 2020
So if you seize all the wealth of the top 1% you'll pay for ~7 years of something that no one claims will actually solve climate change.
[0] https://en.wikipedia.org/wiki/Green_New_Deal
[1] https://windfalldata.com/blog/what-it-takes-to-be-in-the-top...
Their figures aren’t even in “let’s debate” realm. They cite $36 trillion just for universal healthcare when even the CBO admits that Medicare for All would save $300-600 billion per year. This is nowhere close to good faith accounting, it’s intentionally misleading
It's like saying that if I decide to patronize the Chevron station it's going to cost $800/year to buy gas, without considering that I'm currently spending $800/year at the Shell station.
The CBO has not yet weighed in. That's usually a good starting point for any legislation that's getting seriously close to consideration.
Also, AAF can hardly be trusted to fairly evaluate the cost/benefits. A slight increase in utility bills pales in comparison to having to abandon your house due to increased flooding due to climate change. It is funny how when they are doing analysis of tax cuts, they turn over every stone looking to squeeze out questionable "economic productivity" increases to add to their models, and yet when it comes to climate change, they just throw out a bunch of big numbers and call it a day.
Maybe we could buy some healthcare or bike paths or something. The important thing is seizing the wealth of the 1%.
Simple math. Everyone ends up with zero.
Even if we can assume there is a single ten-millionaire working plumber (and really, that's far-fetched), such a person won't be harmed if all of the billionaires get trimmed back to her level.
[0] https://scholar.princeton.edu/sites/default/files/mgilens/fi...
[1] https://www.propublica.org/article/the-secret-irs-files-trov...
About right when you spend $1280 on a coffee cup: https://www.businessinsider.com/us-air-force-spent-1280-on-c...
How do you propose doing that legally? Or how should the US government survive the wealthy citizen's legal assault if they were to find a loophole?
Over a decade, that would be $5 Trillion per year since a decade has 10 years.
People refuse to peel garlic themselves, and you see shelves full of pods of garlic, peeled and packed in plastic that ends up in the oceans eventually. If everyone decided tomorrow to just buy whole garlic that doesn't need packaging, corporations will supply you with that.
It's easy to blame corporations, and no doubt with their shady lobbying practices over decades should be accounted for. But individual responsibility also needs to be acknowledged.
“Suppose a proposal was on the ballot next year to add a monthly fee to consumers’ monthly electricity bill to combat climate change. If this proposal passes, it would cost your household $10 every month.”
It then assumes that voting against the proposal indicates an unwillingness to pay for climate change.
This completely misses the obvious - which is that a $10 monthly fee will not solve climate change and so people are right to vote against the proposal. Indeed it would be ridiculous for people to vote for such a proposal.
What we need is a voluntary tax to pay for climate change. You want it, sign up for the 10% increase in taxes, it will just be linked to your name and whenever there is a tax, you simply pay an additional 10% more that will all go to fighting climate change. Everything else is really about authoritarianism and subjugation of people one wants to dominate and punish. We could have had people paying 10% voluntary climate change tax for 30+ years now.
Paying for climate change is not a luxury elective item. Sometimes a society has to collectively act to protect itself, even over the protestations of people who believe as you do.
Heh, at the same time 2 people had to fly to the US to bring the boat back... if she was so concerned, she could have come back on that boat.
Doubt. Environmentalism is a fraction of a fraction of a fraction of a fraction of US governmental spending.
Edit: it’s .2% of the budget. Defense is a whopping 14%. We spend 70 times less on environmentalism than military and we’re not even at war. Source: http://saveepaalums.info/EPA+costs+to+taxpayers
[1] https://reason.org/policy-brief/how-much-gas-tax-money-state...
US GDP is currently 21.43 Trillion dollars.
7% of that is 1.5 Trillion dollars.
The 2020 Federal budget was 4.79 Trillion dollars.
So, pensions are roughly a quarter of federal government spending every year and growing.
You’re disagreeing with yourself
I wonder if what this actually shows is that people don't like to pay taxes? Or that they think climate change should be possible to solve with the current tax rate with a reprioritizing of tax money?
Also, people are actually pretty smart because they know that every other individual in the economic arena will act in their own best interest. So they make the correct decision of saving money for themselves. That's exactly why any sort of individual brow beating always strikes me as totally misguided and counterproductive. People are not likely to spontaneously move to solve such a large problem when doing so puts them at an individual loss. It doesn't matter if you think that sort of behavior is immoral or unethical.
On the other hand, it seems to me that large organizations such as corporations and governments have many more incentives to mitigate large scale issues like this for a couple of reasons: 1) They can more easily coordinate since there are fewer organizations of that size that have to cooperate; 2) They are in a better position to quantify the risk of failing to act. There are probably plenty of corporate strategists that are starting to raise the alarm about a possible future world in which it's impossible to make any money as a result of a climate catastrophe.
I've never really been able to get on board with ways of arguing about climate change that fit the mold of this article. Individuals simply are not going to act to solve this problem. Get over it and move on.
The problem is NOT that there have been no good proposed policy solutions. The problem is that voters don't want them. This is why I'm pessimistic on the environment.
We don't see these proposals because they are not proposals that the wealthy and powerful would benefit from.
One particular argument would be that there would probably be all sorts of exemptions and subsidies so as to make it ineffective against the largest producers of CO2, which is a version of "I don't trust the government to do something smart with my money," making it not a moot point after all.
It would be equally reasonable to propose that roads or police or militaries should be funded solely with voluntary donations, and then use support for that proposal as a measure of public sentiment towards the necessity of those functions. Of course, these functions are used as canonical justifications for the existence of the state in the first place.
--John Steinbeck in Cannery Row (published 1945)
(it's on archive.org, for the curious)
If we pay $10, what percentage actually goes to fighting climate change, and what percentage goes to pensions and interest payments on debt.
We had our sales tax raised "for the children" to make our schools better. Money goes into the general fund.
I'm not sure the solution, but I have doubts the US government can handle money.
It's hashtag activism. No one wants to make sacrifices.
The only solutions are going to be finding ways to grow our way out of it and incentivize good things (fuel economy, EVs, rail, solar, wind, nuclear, geothermal heat pumps, etc).
Neither Degrowth nor expecting people to vote their conscience with their wallet are going to work.
Even today - look at how tax incentivized solar is, and how fast the break-even is.. and yet how few people take advantage of it?
[1] https://www.eia.gov/totalenergy/data/browser/index.php?tbl=T...
Relative to price of a home, they are cheap, under $10k without storage. People spend 2-5x more on a kitchen or bathroom cosmetic remodel.
If you need financing, you can use a HELOC. The break even is like 4 years.
Your statements are fairly hyperbolic considering something like 60% of Americans own their home, so it can't be impossible.
In most areas? Not fast at all, and very close to the expected life of the panels for consumer-grade house panels considering the up-front investment.
It is extremely dependent on the state you reside, how much electric you use & the energy company you have as incentives vary.
Tesla, in NY on PSEG LI for example- $9K would get you 8kW solar w/o storage $20K would get you 12kW solar + some storage, installation and tax included
Please specify where this is the case and why, per your math.
Fed is 22% tax rebate, NY state is $5k incentive.. and power in the state ranges in the 20-30c/kWh range.. so pretty expensive power with pretty good incentive.
I bet if you ask people if they are willing to pay $1000 dollars (financed as $40/m in 25 months) to secure a spaceship ticket to escape the failing earth climate (assuming the spaceship already exists), many people will happily pay it.
Not that I think attitudes are likely to have changed substantially, but after the power grid collapses in both Texas and California it is possible that there has been movement towards recognizing that there are costs we will pay one way or another and that paying them while also having reasonable climate is much more comfortable in the long term.
It's a good point though, asking whether someone believes climate change is real is a very low bar. It's like literacy rates, the rate depends on what grade level you define as literate. Once literacy gets high enough for a given definition you have to make the criteria more stringent to see differences. So step 1 is "is this real" and step 2 is "what would you sacrifice to stop it". We're still barely past step 1...
I tend to vote conservative, yet my frugal (ok, cheap) nature makes me a natural energy-saver. As an example, I tend to buy cars like a Prius or something with modest fuel needs. I look for ways to save electricity around the house. etc.
I was conversing on social media with a colleague from my hometown. We were (regrettably) talking politics, she made what she considered a 'drop the mic' point by stating "I vote this way because I believe in the science of climate change!"
The irony: her family hobby (with husband) is drag racing. They take great pride in their fuel-sucking Camaro, complete with truck rig to pull it.
I guess we're both turned around.
Yet if I want PG&E there is NO FUCKING PERMIT and you just do it. Explosive results.
Americans in particular, and people in general, don't trust their government to mediate solutions to problems. If you gave a more concrete solution rather than just "we are gonna effectively raise your taxes and do what we say with the money, efficiently and effectively, promise" I'm sure you'd get a lot more support. But people that pay into social security and then watch that fund get plundered and be on the verge of bankruptcy, asking those people if they'd give the government money so they can manage a fund directed solely at solving a problem and then being surprised when the answer is "no," to attribute that to not actually caring and only paying lip service to the problem is quite a leap.
The article says people say no so they aren't will to stop climate change but $10 on the electricity bill is no way going to stop climate change!
I wish people would get real with this and say "We figure a global carbon price of $200 a ton would fix climate change. Would you be up for that?" Which might actually work. I mean you'd have to get global buy in but it would be a real solution rather than the dumb, ineffective, CO2 keeps going up anyway stuff they do now.
Also what capacity does it provide for air conditioning? I don't use air conditioning all that much but I would like the option and I know you have to plan your install for peak usage and not general usage, and you can mitigate that with batteries but that cost has diminishing returns.
This points more to the weakness of the study than anything else.
We will pay tomorrow ♪ ♫ ♬ We're gonna pay tomorrow ♪ ♫ ♬ We will pay tomorrow ♪ ♫ ♬ Save me, save me from tomorrow ♪ ♫ ♬
[1] https://www.washingtonpost.com/investigations/majority-of-fl...