That would imply that there is no climate change happening, as we would have priced in that externality and resolved the issue by now. Right?
As it turns out, that isn't right, because nobody who has incentive to price the externality right is allowed to be part of the process, and the ones who are part of the process are incentivized to cheat and not price externalities at all, or to price them poorly.
So we have runaway climate change. And we have structures preventing that from improving because the incentive structures are flipped to the opposite right now. There is no indication that will change, in fact the incentives to pollute and remove the externality of pollution from the cost of goods sold and services provided, so that we are actually accelerating this path towards higher pollution (see Trump's coal-and-oil-championing attitude).
> That would imply that there is no climate change happening, as we would have priced in that externality and resolved the issue by now. Right?
Erm, what? I didn't say that the system would price it...if it would...we wouldn't need to price it. I said that we needed to price it. You seem to be arguing against some sort of made up straw man here.
That would imply that there is no climate change happening, as we would have priced in that externality and resolved the issue by now. Right?
As it turns out, that isn't right, because nobody who has incentive to price the externality right is allowed to be part of the process, and the ones who are part of the process are incentivized to cheat and not price externalities at all, or to price them poorly.
So we have runaway climate change. And we have structures preventing that from improving because the incentive structures are flipped to the opposite right now. There is no indication that will change, in fact the incentives to pollute and remove the externality of pollution from the cost of goods sold and services provided, so that we are actually accelerating this path towards higher pollution (see Trump's coal-and-oil-championing attitude).