Heavy regulations destroy jobs
A serious carbon tax hike would be required to modify energy consumption habits.
Economists warn that a drastic carbon tax hike could put the economy on its knees. Their plans (punishing carbon pricing, phony green new deal…) won’t foster change without hurting the poor. In fact, economists are not helping! They just talk about making taxes on carbon to be “tax neutral”, i.e., raising taxes here must translate in lowering taxes there. Economists say: it’s only a question of political will to impose unpopular plans. Economists should blame themselves. They are too focus on taxation on hydrocarbons, not enough on freeing green products from taxation!
Other projects such as a carbon tax raised on corporations and transferred to people, will still hurt the poor once they have to consume more expensive green products without the carbon dividend! Moreover, the share of energy is high in the poor’s budget! A punishing carbon tax would hit them harder.
Whatever the plan, corporations will have to invest in green technologies (still costly) and add these new costs in output sale price. Altogether, investment to produce energy-efficiently have to be paid by end users, including the poor. It won’t reduce inequalities!