The EPA recently proposed a new, much higher “social cost of carbon” or SCC—raising it from from $51 to $190 per metric ton of carbon dioxide. In the Trump administration it was between $1 and $7 per ton. I’ll explain just what SCC is, but, first, I note that commentary from economists is generally positive,…
Tag: social cost of carbon
‘Temporary Chaos’ as Judge Rejects Biden’s Social Cost of Carbon
Update: On March 16, the Fifth Circuit Court of Appeals (in New Orleans) reversed the district court’s ruling. That means the chaos was just temporary. It’s back to $51 as the “social cost of carbon” (explained below). In February a Louisiana court rejected the Biden administration’s $51-per-ton estimate of the “social cost of carbon” (really,…
The New Trade in Non-Production (of Carbon)
The pressure to “do something” about global warming has created exotic new programs that emphasize reducing output. You might think of them as markets in non-production. I will explain them. Carbon offsets. Companies that produce or use fossil fuels are trying to reduce their “carbon footprint” but still continue their business. They are purchasing “offsets”—that…