Building a 21st Century Economy
Many conservatives agree with the need to combat climate change through market mechanisms, though they often pair support for a carbon tax with elimination of environmental regulations. Jerry Taylor of the Niskanen Center, a libertarian think tank, argues that a carbon tax can cut pollution at the least cost by “leaving the decision about where, when, and how to reduce greenhouse gas emissions to market actors (via price signals) rather than to regulators (via administrative orders).”3 Similarly, Andrew Moylan from the R Street Institute says the “best policy to address greenhouse gas emissions, while adhering to conservative principles, is a carbon tax combined with tax and regulatory reform.
