In decades our planet’s climate has been changing at an alarming rate. Climate change and global warming are rapidly increasing, but western nations’ dependency on the economy and influences of capitalism are making these issues worse. It is increasingly apparent that our dependency on the economy and the want for profit is considered more important than the current state and preservation of the planet that we inhabit. Therefore, economists gave different proposals for this problem.
First, some economists show that the best way to deal with climate change is that limits carbon emissions by putting a price on them that reflects the environmental damage they cause. Anyone who dumps pollutants into a river, or emits them into the air, ...view middle of the document...
Also, we should have policies to discourage activities that generate negative externalities. For example, cars were required to meet emission standards for the chemicals that cause smog, factories were required to limit the volume of effluent they discharged into waterways, air and so on. This proposal makes good results; air and water became cleaner in the decades.
Second, a carbon tariff would be a tax levied on imported goods proportional to the carbon emitted in the manufacture of those goods. The United States, China are the world’s largest economy, which burns much more coal per dollar of gross domestic product than others. It is unfair if emissions limits in America won’t accomplish if China and others countries will not want to participate in such a system and make their effort. Indeed, they feel that they have a right to emit freely without worrying about the consequences. So, how to persuade China and other emerging nations to participate in emissions limits. In particular, we need carbon tariffs. For instance, “China refuses to reduce emissions, while the United States adopts policies that set a price of $100 per ton of carbon emissions. If the United States were to impose such a carbon tariff, any shipment to America of Chinese goods whose production involved emitting a ton of carbon would result in a $100 tax over and above any other duties”. With carbon tariffs, if levied by major players — probably the United States and the European Union — would give noncooperation countries a strong incentive to reconsider their positions.
If we continue with business as usual, we are facing a rise in global temperatures that will be little short of apocalyptic. And to avoid that apocalypse, we must have action on time to make our plant be greener, cleaner, and more beautiful.