Carbon Tax Is It A Good Thing?

Over the past one hundred years the capitalist economy we live in has increased our way of life. We've made vast leaps forward in technology through-out the years. Capitalism has provided the necessary ingredients for our economic recipe to work, to provide us with products beyond our imagination and to build great cities. Free markets accurately reflect supply and demand within our culture. They allow us to price everything to us most basic commodities to our most advance technologies. Capitalism effectively advocates our sacred resources to the things we value the most.

However despite all of our humanities achievements. Free market economics fails to acknowledge the environmental impact of all of our actions. Since the 50's carbon emissions have risen over 300%. According to scientific research. Climate emissions by man are to blame for global warming. The increase in earth global temperature has had negative effects on the environment. It has melted away the polar ice caps, destroyed wildlife habitats and has significantly increased the number and intensity of tropical storms. Global sea levels have risen 4-8 inches in the past century and global warming could eventually lead to an underwater NYC. So is it possible to use free market economics our primary tool to solve global warming our number one problem.

Right now people are not jumping ahead of line to get on the "green" band wagon. So why not use money? Which is humanities number 1 motivation tool... Introducing Carbon Credits Explained. Carbon credits are these finical instruments that represent a reduction of carbon emissions into our atmosphere. These carbon credits via a carbon tax place a monetary price on our populating activities. People can earn more on carbon credits because there is money/rewards to be earned by reducing co2 emissions. Also by trading these carbon credits we can lower and reduce carbon emissions by using the power of the capitalist market.

This is how a carbon tax works? When co2 is burned to produce energy it also releases pollution. A “cap” on carbon emissions will make industries more cautious about putting co2 into our atmosphere because it will cost them. What this means is big businesses will want to reduce CO2 gasses because they will make more profit because of carbon tax and carbon credits. The carbon cap will make sure we don't go over the limit and should set us on track to clean energy freedom.

So will Carbon Tax and carbon credits work? Many environmentalist like this idea of tackling there problem that their agenda have pursued for so long, but many economist don't think the economics add up. Many critics say its just a plot to get the developing world down (i.e. India, China, Brazil, etc.). Where as in these nation there's very little luxury of being able to go green in the third world.

Some organizations have already created such trading systems to reduce global warming. The Chicago climate exchange is the world's first and North America's only active voluntary, legally binding trading exchange for carbon credits. With the international resolution of trading standards we can finally begin to acknowledge and account for the environmental impact of our progress.

By: Brandon Smitherston

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Carbon credits article by Andrew R