LaurieKoudstaal

In the context of the paper, we should be talking about the median, not the mean.

A better term for what people are trying to articulate is plutocracy.

That isn't how pigouvian taxes work. The point is adjusts the price so that it correctly includes all external costs not already reflected in the costs. It is not about raising revenue to deal with the problem, but changing relative incentives.

For this reason, if the tax is regressive, its perfectly OK for the revenue to be redistributed in tax breaks to lower income.

I did not realize. Thanks for the correction.

Simon Baron-Cohen's book Zero Degrees of Empathy explores this very idea. Might be worth a read if you're curious.