The Environment

The environment is important issue. THe way to deal with it is normally through regulation… which normally leads to more regulation and more useless regulation.

The key to understanding the environment within the libertarian context is to understand that things like the air/ocean are limited resources like no others. So why is it that government has allowed industry to dump pollutants into the air without any cost? Naturally, it was in 'their' interest to promote economic growth, so they largely ignored this.

Today, with global warming and pollution become more important issues, we have governments going the other way.
Let's look at some of their 'schemes'

Carbon Trading (Koyoto protocol)

This is one of the worst ideas as it has a significant flaw. It work by basically giving carbon credits to each country. Each credit gives you the ability to pollute a certain amount. If a country is going to exceed it's limit, it must purchase credit from other countries. Sounds reasonable right? Until you dig deeper and realize the big flaw…different countries have different industries.

Let's take a simpler of this. Suppose Canada implemented a carbon-trading scheme based on provinces.
Now, probably the biggest polluter is Alberta as it produces oil.

How would you allocated the carbon credits?
By population? Then Ontario gets the most carbon credits. Alberta would have to purchase credits from Ontario… basically Alberta would be giving Ontario free money… for what? Has Ontario done anything to deserve it…no. It just doesn't have the same industry Alberta has.

equal credit per province?
Same issue as above.

based on the amount of industry?
Now this could work. If the amount of credit given to Alberta included consideration that it's industry is oil. Yet how would this be calculated…

Again, in a very deceitful way, carbon trading is a TAX on nations that produce things, to nations that don't produce. It is a tax of heavy manufacturing nations like the United States or China, and that tax is given to nations that don't produce much. It's a scam really.

Carbon Tax

I'm a much bigger fan of a carbon tax. You should be charged for polluting. The tax should be handled by the most local body. For example, in Canada, the tax should be collected by each province. So Alberta polluters pay the government of Alberta. This helps ensure that tax is not used to transfer wealth based on industry as above.

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