Carbon and Technology

by Brad Peck

The Economist looks at Paul Krugman's "toy model" of carbon pricing:

What this suggests, then, is that while pursuit of a carbon price is a worthwhile goal, it can't be the end of the policy response. A carbon price, even one insufficiently small, would create some incentive to change behaviour and innovate. But what's also needed is a set of technological leaps sufficient to quickly and drastically increase the elasticity of demand for carbon. And that militates in favour of large-scale investment in green infrastructure and a broad push to encourage research into alternatives to carbon-intense activities.

And us, from here:

The Chamber has vigorously supported the production and use of renewable energy and we have consistently called for additional funding for renewable and other clean energy technology advancements...In addition, we have sent dozens of concrete policy recommendations to the Administration and Congress to reduce greenhouse gas emissions in the atmosphere while keeping our economy healthy. We are currently leading the fight to clear the regulatory, legal, and Not-In-My-Backyard roadblocks that are delaying promising wind, solar, nuclear and other clean energy projects across the nation...American business is the single biggest investor in clean technology. The Chamber has routinely supported tax incentives and credits, appropriations and stimulus funding to promote the accelerated development of these technologies.