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GregLocock
Automotive
- Apr 10, 2001
- 23,423
paywalled sadly. This may be a copy
Take the Joe Manchin-sponsored climate compromise coming together in the U.S. Senate. Despite panegyrics in the press, this euphoric proposal amounts to exactly the sort of subsidy regime the National Academy of Sciences in 2013, after a similar splurge, judged to be a “poor tool for reducing greenhouse gases and achieving climate-change objectives.”
One analysis pinpointed in the fewest possible words why: “Alternative energy is not replacement energy.”
Such packages are sold on the public’s faulty intuition that an erg of green energy consumed is an erg of fossil energy that stays in the ground. But it does not follow. The most widely celebrated paper in recent years on the economics of climate change concludes that green-energy subsidies mostly just increase total energy consumption rather than displace fossil fuels. The impact on CO2 and temperatures is “minuscule,” according to Princeton’s José Luis Cruz Álvarez and Esteban Rossi-Hansberg.
Cheers
Greg Locock
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