When Libertarians Want Tax Increases
When a libertarian calls for tax increases, you know you're onto something. Sure enough, Jeffrey A. Miron of Harvard University lists "increase carbon taxes" as one of his "libertarian stimulus" suggestions to President Obama. Let's let him explain:
"The effective way to accomplish this is higher gasoline or other carbon taxes, not the messy, complicated green spending in the Obama plan that will morph into pork in many cases. If higher carbon taxes are combined with lower marginal tax rates, the private sector faces better incentives on both counts. This approach avoids the higher deficits implied by Obama's green initiatives."
Agreed and agreed. Sometimes the easiest solution is the right solution. Alas, the harder solutions are the ones that are more politically palatable and satisfy elected officials' need to be seen as "doing something." Still, the camp that is calling for higher carbon taxes is growing, and finding some unlikely allies within its tent.