Could it be that it, like the whole neoliberal establishment, views current world decision-making through the lens of neoclassical economics profit and loss, which calculation refuses to take externalities, like pollution, into account? I think it is.
The way that neoclassical economics deals with externalities is with a Pigou Tax. Whihc then neatly deals with the problem. Ritchie’s against a carbon tax because somethingmuttermutter.
He actually knows the solution but then claims it’s ignored…..
The way that neoclassical economics deals with externalities is with a Pigou Tax.
Care to give any examples where that’s actually worked according to the claims made on the tin?
Who is it? Can’t be bothered to find out. The plethora of oxford commas may be a new affectation.
Externalities can also be dealt with by fines, criminal prosecution, consumer boycott or most effectively by the moral conscience of the capitalist. We used to have a few of the last.
He’s talking about Heathrow Airport and it’s campaign for a new runway. Ideally I’d like to see him appointed to some kind of Foreign office role and then be sent to China or India and lecture them on how they can feed their masses and satisfy the ambitions of their populations through MMT and ‘Taxing Wealth’ – would be an interesting vignette..
In other posts he has proved his fascist credentials by calling for a news channel to be shut down, and his latest wheeze is charging homeowners CGT on the sale of their primary residences (Paradoxically the one tax where the planned annual revenue really might be more than the Zero his other proposals will yield post year one)
Lots of commas, phil, all justifiable, and not one an Oxford comma as far as I can see.
Here’s an Oxford comma: the local pubs – the King’s Head, the Slug and Lettuce, and the Tumbril and Guillotine – were busy last Thursday.
It’s the second comma that’s an Oxford comma and quite bloody right.
P.S. I claim copyright to that third pub name.
Murphy engaging in discussion of economics is like a person coming to a gunfight tooled up with a water pistol
BIS,
It’s more about the alternative. People should pay for their pollution. You do a thing, you make everyone’s life worse, only fair you compensate them for that and the price of the pollution is factored into the overall price.
There are two answers. Either you do Pigou, and adjust the price a little and let the market find the best way, or you have the government deciding what to do. Like Kommisar Burnham is going to throw money at electric buses for Manchester now he’s in charge. Stagecoach and National Express don’t do that. Because even though they have to pay a Pigou tax for diesel the TCO of a diesel bus is still cheaper. That battery adds about £100K to the price of the bus and then after about 7 or 8 years, it’s fucked and you have to get a new battery for similar money.
@WB
I’ve nothing against deterrent taxation. But if you adopt that you’re handing tax raising powers to politicians & you have to accept the consequences. Politicians will seek to maximise revenue. So there will be no connection between the level of taxation & what you’re seeking to achieve. Pigou seemed to envisage a world with different politicians. Pigou was a twat.
But that’s hardly a surprise. The majority of economists are twats. It harbours Spud for FFS! It’s the “science” of explaining the intuitively obvious to the mildly intelligent, to thickos. (And sticking economist’s labels on them. of course) Why you’d want to do that, I can’t imagine. They’re never going to understand or take any notice. As has been repeatedly proved.
The last time this topic came up someone (BiS and possibly a typo?) referred to Pigout tax which is strangely apt since, away from the textbook, it’s just a revenue raising wheeze.
dearieme – I’ll come and buy a drink when you open that pub.
The last time this topic came up someone (BiS and possibly a typo?) referred to Pigout tax which is strangely apt since, away from the textbook, it’s just a revenue raising wheeze.
If it was a Piggott Tax then it is best avoided.
dearime @ 12.03, from my youth – The Drug and Needle, and The Thalidomide Arms…..(apologies).