…wait, what? I thought Mr. Harper was a heartless, cruel man who loved nothing more than the almighty loonie, like any good Tory. Well, Maclean’s (and Laval University’s) Stephen Gordon disagrees.
Prof. Gordon argues:
The Conservatives’ rabid demonisation of the phrase “carbon tax” has obscured a point that should be better-known: as bad as you may think a carbon tax (or cap-and-trade) may be, the Conservatives’ regulation-based approach is worse. Regulations introduce large deadweight losses: costs that are not offset by benefits elsewhere. The advantage of market-based approaches is that they transform some of those losses into cash. The Conservatives’ reliance on regulation over markets means that they are leaving free money on the table, for no better reason than because they are afraid to be seen taking it.
I fully endorse Prof. Gordon’s wonkish post.
(By the way, I had missed that he began blogging at Maclean’s. Congrats!)