So how do we stop the slow-motion disaster that we're living in?
1) I completely agree that trying to minimize pain by teching our way out is important. The reason we have cheap wind and solar power is heavy government investment in research, which eventually trickles out and becomes commercially viable. The recent energy bill is great, but doesn't go nearly far enough. Still, if you take an honest look at the numbers, it's simply not going to be enough to avoid the worst effects.
2) We have to make it more profitable to be low-carbon than it is to burn things. I think that unavoidably leads to the conclusion that we need to tax carbon. It also has to be done in a smart way - not super-high all at once, and then return the proceeds with checks to the middle/lower income people who are hit hardest to solidify political support. The goal is to nudge people to change their behaviors, without doing it so hard that they vote you out of office.
Look, we were happy to keep dumping arsenic in streams until those externalized costs were built into the cost of doing business. The effects of carbon as a pollutant are here now - we can't keep pretending that they don't exist. What is the cost of Miami being underwater? What is the cost of wildfires and drought in the west? Yes, it will cost billions of dollars, but if it saves trillions, that's a smart investment.