Showing posts with label carbon tax. Show all posts
Showing posts with label carbon tax. Show all posts

Saturday, May 04, 2019

Gordon's platform 2020

It is my privilege to announce that I will running for the Presidency of the United States of America.

I understand that, as a foreign born dual citizen of the United States and Canada I am technically not eligible for the Presidency. On the other hand, America elected Donald Trump. Compared to him I’m eminently qualified.

My Presidential Platform is achievable and focuses on our core challenges as a nation and wannabe world leader ...

  1. Free community college. This was, I think, part of HRC’s platform. Didn’t get much media coverage but just makes sense. Unlike free college, which is dumb. Quebec basically does this and it has worked very well for them. A lot of health care workers can be trained in 3 years of community college.
  2. Restore ACA, including the individual tax penalties for non-participation, with a public option that leverages experience from Canada and Veterans Health Administration. Incorporate broad support for physical activity (aka exercise) in health care system. Attack agricultural subsidies for unhealthy foods and subsidize healthy foods. Move the dial on obesity and lifestyle diseases.
  3. Restore Obama’s carbon control framework, not including a carbon tax. I love the idea of a carbon tax, but I’ve seen my fellow citizens. Some costs are better buried.
  4. Increase employment income of the non-college. Reduce taxation incentives that favor automation (it will happen anyway, but slower is better). Create plug-and-play packages for small businesses that employ non-college. Provide subsidies for training in skills accessible to non-college. Extend the framework used for disabled employment to subsidize and support non-college work including public sector employment. Subsidize minimum wage. Tax breaks to employers that promote employment. This will be a core pillar of my administration.
  5. Strong antitrust; promote competition among corporations and consumer choice. May include breaking up several MegaCorp.
  6. Transit, bikes, walkability, parks, attractive infrastructure. Make car ownership optional. Require new motor vehicles to incorporate technology that makes pedestrians and cyclists safer. Require autonomous vehicles to meet strict standards for safety of the non-armored.
  7. Taxes. Of course. VAT. Restore the "death tax”. Various forms of wealth tax. Tax soda and the like. Fund my platform, start to beat back dysfunctional wealth concentration.
  8. Attack political corruption, particularly post-political employment, at every level. Public funding for elections including mandated free media time.

There’s more, but you get the idea.

Vote for me. 

Whatever my name is.

Wednesday, November 12, 2014

Keystone question: if US were to meet China accord goals, would Keystone be economically viable?

To widespread surprise, the US and China reached an agreement on carbon emissions:

U.S. and China Reach Climate Accord After Months of Talks - NYTimes.com

… United States would emit 26 percent to 28 percent less carbon in 2025 than it did in 2005 …

Which brings up a question that seems obvious, but also goes unasked.

If the US were to meet this accord, we’d have reduced carbon emissions by some combination of Pigovian taxation, regulation and technological innovations. However we achieve that end, wouldn’t this reduction make Keystone and similar projects economically unviable?

If so, then the Keystone project is a bet that the US will fail to meet this goal. Further, it will be a powerful sunk cost incentive to ensure that we fail.

If Keystone’s business case makes sense in a world where we reduce carbon emissions by 28% relative to our 2005 baseline then build it.

Otherwise, don’t.

I don’t think this is very complicated.

Tuesday, November 12, 2013

How the US could get a real (big) carbon tax

The Philippines has been hit by a very powerful storm. Thousands are dead and more will die, suffering will be extensive and long lasting. (Yes, poverty matters, but remember Katrina killed 1,500-3,500 and devastated a wealthy country city.)

Science-based thinkers expect a grim outlook for the Philippines. Sea level will rise, storms are likely to be more powerful, this will happen again even if many move away from the current crowded coastal zones.

Which makes this a good time to talk about a Carbon Tax. Not a trifling Carbon Tax, but a 'sell-the-SUV' and 'wear sweaters' and 'upgrade AC to smart adjust' carbon tax. A Carbon Tax that's politically impossible in 2013 China, USA, Australia, Canada or even Germany.

To be sure, a (Big) Carbon Tax (BCT) isn't about raising money for research - the funds would likely be offset by other tax reductions and by subsidies to people most hurt by cost shifts.. It's about keeping Carbon in the ground longer (maybe forever) by making extraction unprofitable, and accelerating transitions to low CO2 technologies (esp. solar, smart tech energy, etc) by making them cost-competitive ten years sooner than expected.

Nice idea, but impossible.

Except ... things change. Warfare happens. India suffers, and declares if it's going down it will take wealth western cities with it. Massive rogue geo-engineering projects have nasty side-effects that lead to more war, more threats.

Maybe a BCT becomes more palatable. Here's how it might happen -- the key is Border Tax Adjustment - "... import fees levied by carbon-taxing countries on goods manufactured in non-carbon-taxing countries...".

So what happens is China, India and Germany commit to a BCT -- for reasons of self-preservation and economic advantage. They tax American goods and services with the Border Tax Adjustment. The US can either suffer this or can add its own Big Carbon Tax -- and put various compensatory tax reductions/subsidies in place. The BTA goes away, the money stays in the US.

Once you have China, India, Germany and the US the rest of the world falls in line.

Tuesday, July 10, 2012

Is labor lumpish in whitewater times?

Krugman is famously dismissive about claims of structural aspects to underemployment (though years ago he wasn't as sure). DeLong, I think, is less sure.

Krugman points to the uniformity of underemployment. If there were structural causes, wouldn't we see areas of relative strength? It seems a bit much to claim that multiple broad-coverage structural shocks would produce such a homogeneous picture.

Fortunately, I fly under the radar (esp. under Paul's), so I am free to wonder about labor in the post-AI era complicated by the the rise of China and India and the enabling effect of IT on financial fraud. Stories like this catch my attention ...

Fix Law Schools - Atlantic Vincent Rougeau  Mobile

... the jobs and high pay that used to greet new attorneys at large firms are gone, wiped away by innovations such as software that takes seconds to do the document discovery that once occupied junior attorneys for scores of (billable) hours while they learned their profession..

Enhanced search and discovery is only one small piece of the post-AI world, but there's a case to be made that it wiped out large portions of a profession. Brynjolfsson and McAfee expand that case in Race Against the Machine [1], though almost all of their fixes [1] increase economic output rather than addressing the core issue of mass disability. The exception, perhaps deliberately numbered 13 of 19, is easy to miss ...

13. Make it comparatively more attractive to hire a person than to buy more technology through incentives, rather than regulation. This can be done by, among other things, decreasing employer payroll taxes and providing subsidies or tax breaks for employing people who have been out of work for a long time. Taxes on congestion and pollution can more than make up for the reduced labor taxes.

Of course by "pollution ... tax" they mean "Carbon Tax" [1]. The fix here is the same fix that has been applied to provide employment for persons with cognitive disabilities such as low IQ and/or autism. In the modern world disability is a relative term that applies to a larger population.

If our whitewater times continue, we will either go there or go nowhere.

[1] They're popular at the "Singularity University" and their fixes are published in "World Future Society". Outcasts they are. Their fan base probably explains why the can't use the "Carbon" word, WFS/SU people have a weird problem with letter C. 

See also:

Sunday, April 15, 2012

Global Warming 2012 - Are the Denialists really winning?

This Telegraph article is primarily about a Hansen lecture on humanity's failure to think rationally about climate change, but I found the "Global Warming Policy Foundation" [1] funded response ironically interesting ...

Climate scientists are losing the public debate on global warming - Telegraph

... Dr Benny Peiser, director of sceptical think tank The Global Warming Policy Foundation, said governments and the public had "more urgent problems to deal with" than tackling climate change.

He said: "People have become bored by some of the rhetoric from the green movement as they have other things to worry about.

"In reality the backlash against climate change has very little to do with the sceptics. We will take credit for instilling some debate but it is mainly an economic issue. Climate change is not seen as being urgent any more."...

Over the past decade it seems the Denialist line has shifted from "it's not happening" to "it's not due to CO2 emissions" to "it's boring and not urgent".

That's a pretty radical retreat, even as public support for reducing emissions has collapsed in the face of the Lesser Depression (which is very severe now in the UK).

Contrary to the tone of the article, I call this progress. In the real world, the bad guys rarely fall on their knees and declare they were wrong. Yes, there were tobacco executives who did publicly repent, often after they or their loved ones developed lung cancer, but by then they weren't tobacco company executives any more. This denialist declaration of victory is, ironically, an admission of defeat.

Progress is very non-linear. The Lesser Depression will make action very difficult, even as it reduces carbon emissions far more than any tax ever could. Even so, I think we're moving into an era when the interesting debates begin. Debates about risks and costs, about climate engineering vs energy conservation, about who pays and who benefits and what is possible when. Those are debates about values and judgment as much as science.

[1] Funded by Michael Hintze, a hedge fund billionaire. Other funders are not known, but one assumes the usual suspects (Koch, Exxon, etc).

Thursday, December 29, 2011

GOP 2.0: What rational climate change politics might look like

"With great power comes great responsibility." Gingrich's inner geek smiled at that one. Certainly they had the power. The Democrats had been crushed by the 2012 elections. President Romney now controlled the House, the Senate and the Supreme Court -- and the filibuster had been eliminated in early 2013.

Gingrich was philosophical about the Vice Presidency; Cheney had taught him what could be done. Romney was happy enough to hand off the big one to him.

Not health care of course. That had been a trivial problem; it took only a few months to tweak ObamaCare, throw in some vouchers and a few distractions, and launch RomneyCare. The GOP base was fine with rebranding, and the dispirited remnant of the Democrats saw little real change.

No, the big one was climate change. Romney and Gingrich had never truly doubted that human CO2 emissions were driving global climate change, but pivoting the base took a bit of work. They'd begun with ritual purges; Hansen was quickly exiled to the lecture circuit. Then came the American Commission on Truth in Science. There wasn't even much tormenting of old enemies; the size of the GOP victory had taken the fun out of that. In short order the "weak mindedness" of the Democrats was exposed and the "honest and rigorous" examination of the Romney administration was completed. It was time, Murdoch's empire declared, for strong minded Americans to face hard (but not inconvenient) facts.

The hardest challenge came from a contingent that felt global warming was a good thing, even God's plan. American drought was weakening that group, but they were a constant headache.

Now though it was time for policy, and Gingrich couldn't be happier. He'd been meeting with Bill Clinton of course; the two rogues loved the evening debates. Clinton's engagement wasn't just for fun, despite the GOP's dominance there was still room for politics. America's wealthy had been irrationally terrified of Obama, but they were also afraid of runaway warming -- and they had considerable power. Trillions of dollars were at stake in any real attack on global warming, and every corporation in America was at the door. The Military was pushing for aggressive management. Lastly, Gingrich knew that power can shift. He'd seen it before.

He wrote out the options, and labeled them by their natural political base ...

  • Climate engineering: solar radiation reduction, massive sequestration projects (R)
  • CO2 pricing (by hook or crook) (R/D - political debate is how revenues are used)
  • Subsidies for public transit (D)
  • Urban planning measures (D)
  • Military strategy to manage anticipated collapse of African nations (R)
  • Military strategy to manage anticipated climate engineering conflicts with China (climate wars) (R)
  • Tariff's on Chinese imports to charge China for their CO2 emissions (R/D - but probably tied to American CO2 pricing)
  • Massive investments in solar power and conservation technologies (D)
  • Massive investments in fusion power (R)

The Climate Wars were particularly troublesome. There were simple things China could do, like pump massive amounts of sulfuric acid, that would alleviate the disaster their scientists had predicted. These measures, however, would be disastrous for the US. On the other hand, war with China was unthinkable.

Gingrich new he had to put a price on Carbon and he had to get China to avoid the most dangerous (for the US) forms of climate engineering. The rest was in play. This was what Great Men were made for ...

See also:

Gordon's Notes

Others

Monday, November 07, 2011

Keystone XL, carbon sequestration, and the tax in the closet

The Keystone Pipeline XL (Keystone Expansion) is a part of  a multi-billion dollar project to "transport synthetic crude oil and diluted bitumen from the Athabasca Oil Sands in northeastern Alberta, Canada to refineries in Illinois and Oklahoma, and further to the U.S. Gulf Coast".

There is debate about the project, but the media coverage is hard to follow. That's because there is an "elephant in the room". (see - unspoken).

The elephant is carbon. If we taxed CO2 to offset the externalities of global climate change the Keystone XL would not be built and the existing Keystone pipeline would be dismantled. Of course if we had a Carbon tax the price of energy would rise about 10%, though that would be offset by the increasingly low costs of solar power.

It's easy to see why the media is missing the Keystone XL story. Without a Carbon Tax, or the regulatory equivalent, the Keystone XL makes business sense. A Carbon Tax, however, is a wee bit unpopular. It's easier for XL opponents to talk about other environmental impacts such as oil spills, water contamination and the like.

Of course once Keystone XL is built, instituting a carbon cost would mean dismantling a suddenly irrational multi-billion dollar investment. So maybe we should be talking about the real issue now.

It's a similar story with coal plant carbon sequestration. To the surprise of nobody whose paying attention, it's not happening. Shareholders would fire the CEO of a corporation that invested in carbon sequestration without either a carbon tax or the regulatory equivalent.

There's more than one elephant in this (too small) room. The other is Peak Oil, defined as the beginning of the end of the good stuff. It's gotten lost in the so-far-lesser depression, but our fracking and Keystone investments are consistent with Gwynne Dyer's 2008 prediction. We are now post-peak-oil.

Does it all make more sense now?

Yeah, I thought so.

There's a twist to this story though.

Is a Carbon Tax really all that unpopular? Governments need money to provide services an aging and increasing disabled population needs. There's no happy way to increase taxes. Compared to the alternatives, a Carbon Tax may not be as unpopular as we imagine. Maybe that's why nobody is talking about it. When politicians are forced to deal with big problems, they prefer to keep the real solutions behind closed doors.

Saturday, October 22, 2011

In fifty years, what will our sins be?

In my early years white male heterosexual superiority was pretty much hardwired into my culture. I grew up in Quebec, so in my earliest pre-engagement years add the local theocracy of the Catholic church.

Mental illness, including schizophrenia, was a shameful sin. Hitting children was normal and even encouraged. There were few laws protecting domestic animals. There were almost no environmental protections. Children and adults with cognitive disorders were scorned and neglected. Physical disabilities were shameful; there were few accommodations for disability.

Our life then had a lot in common with China today.

Not all of these cultural attitudes are fully condemned, but that time is coming.

So what are the candidates for condemnation in 50 years? Gus Mueller, commenting on a WaPo article, suggests massive meat consumption and cannabis prohibition.

I am sure Gus is wrong about cannabis prohibition. Even now we don't condemn the ideal of alcohol prohibition; many aboriginal communities around the world still enforce alcohol restrictions and we don't condemn them. We consider American Prohibition quixotic, but not evil.

My list is not far from the WaPo article. Here's my set:

  • Our definition and punishment of crime, particularly in the context of diminished capacity.
  • Our tolerance of poverty, both local and global.
  • Our wastefulness.
  • Our tolerance of political corruption.
  • Our failure to create a carbon tax.
  • The use of semi-sentient animals as meat. (WaPo just mentions industrial food production. I think the condemnation will be deeper.)
  • Our failure to confront the responsibilities and risks associated with the creation of artificial sentience. (Depending on how things turn out, this might be celebrated by our heirs.)

The WaPo article mentions our isolation of the elderly. I don't think so; I think that will be seen more as a tragedy than a sin. This is really about the modern mismatch between physical and cognitive lifespan.

The article is accompanied by a poll with this ranking as of 5800 votes:

  • Environment
  • Food production
  • Prison system
  • Isolation of the elderly.

Tuesday, February 08, 2011

Dementia prevention: reason enough for road tolls and public transit

I was a persistent skeptic. I didn't believe that exercise slowed the inevitable [1] onset of age related cognitive decline.

The animal models broke my resistance. Now we're exploring mechanisms (emphases mine) ...

Observations: Aerobic exercise bulks up hippocampus, improving memory in older adults
... adults aged 55 to 80 years who walked around a track for 40 minutes on three days a week for a year increased the volume of their hippocampus, the brain region that is implicated in memory and spatial reasoning. Older adults assigned to a stretching routine showed no hippocampal growth. The 120 previously sedentary older adults recruited for the study did not yet have diagnosable dementia but were experiencing typical age-related reduction of the hippocampus, according to pre-study MRIs. "We think of the atrophy of the hippocampus in later life as almost inevitable," ...
The growth of the hippocampus was modest, increasing 2.12 percent in the left hippocampus and 1.97 percent in the right hippocampus, which effectively turns back the clock one to two years in terms of volume. The stretching group, on the other hand, experienced continued reduction in pace with expected age-related losses, losing on average 1.40 percent and 1.43 percent in the volume of their left and right hippocampus, respectively...
In addition to the increased size of the hippocampus, the aerobic exercise group also tended to have a higher level of brain-derived neurotrophic factor (BDNF), a compound that is associated with having a larger hippocampus and better memory. The researchers did not see any changes in the thalamus or caudate nucleus, two other parts of the brain that are involved with spatial sense and memory, respectively. Because only the hippocampus seemed to be affected by the aerobic exercise regime, the researchers reasoned that the activity might be acting specifically on certain molecular pathways to prompt "cell proliferation or dendritic branching," they noted...

This was a randomized (non-blinded of course) therapeutic trial and it's backed up by persuasive animal model studies. I think this is real.

I would not call the effects "modest". Over one year there was a 3.4% difference in hippocampal volume between the control and experimental groups. This corresponds to a 2-4 year age gap. There is no reason to assume the groups would not continue to diverge for additional time.

This is a big enough difference that ethics panels may not approve further experimental studies of this sort. Future control groups will have to include significant exercise (I would not call 40 minutes 3 times a week modest.)

So now we have a few known ways for individuals to reduce their personal risk of cognitive disability:

  1. Don't hit your head. That means no football for your kids (and, worse, maybe no hockey).
  2. Exercise (without hurting your head) a lot.
  3. Don't smoke, drink to excess, eat too much, etc.

We know things that don't work at all ...

  1. Playing bridge, cognitive work, crosswords, etc.
  2. Nutritional supplements

And we're waiting to find out if sleeping 7-8 hours a night will matter. I have a hunch sleep duration will be found to be a key to amyloid turnover ...

Insights Give Hope for New Attack on Alzheimer’s - Gina Kolata - NYTimes.com

...  Dr. Bateman was his own first subject. He then did the test on people in their 30s and 40s, as well as healthy older people and people with Alzheimer’s...

The problem in Alzheimer’s, he found, is disposal. Beta amyloid, he found, normally is disposed of extremely quickly — within eight hours, half the beta amyloid in the brain has been washed away, replaced by new beta amyloid.

With Alzheimer’s disease, Dr. Bateman discovered, beta amyloid is made at a normal rate, but it hangs around, draining at a rate that is 30 percent slower than in healthy people the same age. And healthy older people, in turn, clear the substance from their brains more slowly than healthy younger people.

... “What we think may be happening is that a clearance mechanism is broken first,” Dr. Bateman says. Slowly, as years go by, beta amyloid starts to accumulate in the brain. If that clearance can be fixed, or enhanced, the buildup might never occur...

Of course exercise helps regulate sleep as well ...

We know enough to make some policy decisions. The economic payoff to delaying cognitive disability across the US population is enormous. It's enough of a savings, for example, to justify a shift to public transit, which leads to higher levels of ambulation. A carbon tax, which makes sense in many other ways, can pay for public transit, reduce automobile use, and reduce dementia rates.

Sunday, November 21, 2010

Speculation: The corporate ecosystem and American stasis

To speculate is to "form a theory or conjecture about a subject without firm evidence" [1]. My speculation tagged posts are things I suspect are true - even though I know I lack evidence. This is one of them.

For some years [2] I have been playing with a speculation that large publicly traded corporations [1], independent of their managers, are self-sustaining super-organisms of commerce-space that, like biological organisms, can change their (legal, regulatory and cultural ecosystem) to their peculiar tastes. I call this entity AmoebaCorp; I imagine it oozing and absorbing in an abstract "space" where individual humans are invisible atoms.

Over the last two hundred years of American history corporate power and influence has waxed and waned. Within the past year the corporate entity reversed a small transient setback and completed a dramatic transformation of its political ecosystem. The power of AmoebaCorp is higher than average, perhaps as high as it has ever been. The power of individuals, both the few that are strong and the many that are weak, has been commensurately reduced.

I wonder what that means for us. Corporations, after all, are not (yet) enemies of individual humans. They need us the way software needs hardware and memes need brains. They certainly need the rule of law; most AmoebaCorp hate war [3]. We individuals, CEOs and peons alike, are frenemies of AmoebaCorp .

On the other hand, I don't think AmoebaCorp can get its mind around what we need to do for global climate change. Its timescape is even shorter than ours. With CT2 (Carbon Tax and Tariff) AmoebaCorp would be our friend, without CT2 it will be our enemy.

In the near term, I fear that AmoebaCorp is and will be an enemy of true invention, and without invention and innovation humanity will be in a world of hurt. AmoebaCorp cannot like disruptive technology, it may be happiest in the periods of stasis common in human history. I think we may be seeing the effects of that stasis in the IP (patent troll) wars, and in the recent history of small startup companies ...

I, Cringely » Blog Archive » No Life Insurance for Bull Riders - Cringely on technology

... Exchange Traded Funds are forcing more and more good tech companies to abandon the idea of ever going public. We saw this trend on this summer’s Startup Tour where not one of more than 30 companies we visited saw an Initial Public Offering (IPO) in its future. Every company saw itself eventually being acquired. But there’s a problem with being acquired, which is that it greatly limits the upside for entrepreneurs...

Cringely misses the point. There's a bigger problem here that fewer billionaires. The problem is that the innovations of those startups will die. They are often acquired to prevent disruption, rather than to enable disruption.

Stasis isn't the worst thing in human history, but we live in a world of 8 billion people. We are exhausting that world. Stasis is not a desirable option. The AmoebaCorp may now be more enemy than friend.

[1] Oxford American Dictionary.

See also:

[1] Private, and effectively private, corporations like 2010 Apple and 1893 J.P. Morgan and Company are much more idiosyncratic. [2] Charles Stross has been well ahead of me on this. Marx, of course, had similar intuitions, which did not lend themselves to good history. [3] Some companies sell weapons or invest in security theater of course, so it's a bit of a mixed bag.

Update 12/1/10: The next step.

Saturday, November 20, 2010

Climate Change 2010: Plan B

It was always a long shot, but 2010 was when we knew that plan A for greenhouse gas management had failed.

Plan A was Europe, China and the US agreeing to limit CO2 emissions and then extending that agreement to India and every other country that mattered.

Plan A might be known as Plan Gore, because Al Gore was a leading exponent. His personal life went down in flames around the time Plan A died. Plan A was always a longshot, but it was stone dead when the ailing US economy flatlined at the end of the Bush II. The Great Recession killed Plan A, but it also dramatically reduced world greenhouse gas emissions. So maybe it was a bit of a wash.

So what's next? Plan A isn't coming back any time soon. Europe's economy is on the ropes. China is fragile and facing history's greatest economic bubble. The US economy is tottering along, but the GOP thinks a dead America is better than America cheatin' with Obama.

Yes, it does seem a bit bleak. On the other hand, even if Gore had won in 2000 it would have been hard to equal the greenhouse gas decreases of the past three years of economic misery. I can even imagine, if the GOP won it all, that Plan A might return. Only Nixon could go to China, and in the US only the Crazy Party can manage the fear filled right.

In the meantime, there's Plan B.

How could Plan B work?

Well, we know where we need to go. We need a worldwide Carbon Tax and a Carbon Tariff (CT2). The Carbon Tax is obvious. The Carbon Tariff is how nations manage cheaters -- other nations that don't play along.

With CT2 everything else plays out. We get investments in energy conservation technologies, we get energy conservation directly, and we get investments in every conceivable form of low carbon energy production technology. CT2 also brings in a boat load of revenue, which each nation may use as it sees fit. Some may offset other consumption taxes (ex: VAT), others may subsidize transit or invest in energy research.

We know where we need to go to CT2, but how do we get there? Most of all, how do we break the WTO rules that would block Carbon Tariffs?

What if a small nation, like the Maldives for example, started by introducing CT2 locally -- with rates that seem right for a global regime? Then the Scandinavians sign on. The big one next one is the EU. After that it gets harder. Canada, Australia, the US and China are all going to hold out. I'm guessing the next big ones would be India, Mexico, Brazil, and Argentina.

The US, Canada and Australia go next.

China goes last.

That's Plan B.

See also:

Sunday, August 29, 2010

RV timeshares today and tomorrow

We've got 3 Kids around 11, 1 dog, an old van and a newish Subaru wagon.

A new van is the default purchase, but most of the time I just need a commuter box. For our epic family road trips an RV might be cheaper and better.

So it occurred to me we need a timeshare RV. These days, to think of a business is to discover it. Turns out, RV Timeshares exist.

I don't know how well they work. There are all sorts of perverse incentive/tragedy of the commons problems in the timeshare industry. I expect they've been a fringe industry.

That's likely to change as we near Peak Oil [1] time and as the Trilateral Commission [2] prepares to implement a Carbon Tax. My family doesn't need a van most of the time, and when we do need it a camper/RV combo would be preferable. If gas were more expensive a market would develop to provide RV type vehicles -- and I could buy a commuter car.

We just have to wait.

[1] Yeah, it's coming. We'd see gas over $4/gallon now if not for the fact that the economy of the industrial world cratered. Given the way things are going the Great Recession will slide right into Peak Oil territory, in which case we'll just call it GD II.

[2] I was a member! Or at least I got their mailings in College. Maybe if it'd been less chatty I'd be a member of the Great Council by now. (PS. This is a joke.)

Thursday, July 01, 2010

Deficits, climate, BP and immigration: Saving America is suspiciously easy

I wasn’t smart enough for my undergrad, but the financial support was so good I couldn’t quit. Poverty is the mother of persistence. So I worked the system. I got credits for hanging out at USC [1] and learning “student advocacy” in a class full of beautiful women.

Man, I was good in those days.

During one particularly delightful class “retreat” we played prisoner’s dilemma. Course we didn’t know that’s what we were playing; we were supposed to defeat ourselves and learn valuable lessons. Except I figured it out, and, miraculously, I was able to convince my team to sabotage the game by always cooperating.

The retreat leaders were not happy.

These days it feels like America is in a game like that. A game we could win, except we choose to lose. The game masters must be getting desperate, because they keep making the answers easier.

We have serious problems with our demographics (hence health care costs, declining tax base), our CO2 production, our energy policies, and badly behaved corporations.

We can solve all of these problems, and win the game, with a few obvious moves.

Surely you can guess?

They are …

  1. Canadian-style immigration policy.
  2. Carbon tax.
  3. Percentage fines for corporate malfeasance rather than fixed dollar fines.
  4. End tax deductibility of corporate fines.

Obvious, ain’t it? I tell you, this game is rigged. The answers are so obvious I’ll just talk about the first one.

Sometime in the past twenty years a group of freakin’ geniuses in Canada ran the numbers. They didn’t look good. Canada’s demographic transition [2] was particularly quick, the government pays for health care, and Canadians had stopped smoking.

So they tried to figure out Canada’s value prop. It ain’t the climate or the wealth opportunities. They decided it’s the society. Relatively diverse, fairly peaceful, very secure from invasion, not much of a terrorist target, decent albeit rapidly decaying infrastructure, and all located on the border of a vast money machine.

Canada started selling citizenship. It worked brilliantly. Canada skimmed the cream of the world in the prime of their life, without having to educate most of them.

We could do that. That takes care of our demographics problem.

Four obvious fixes. Problems solved. Easy.

That leaves only the interesting question. Who’s running this rigged game?

[1] Didn’t cost a thing. USC had an “exchange” relationship with us. I never saw a USC student at tech, so it was all to our advantage.

[2] Quebec went from families with 10+ kids to 1-2 kids in about 10 years. Fastest demographic transition in history, and a marker for how quickly a society can change without quite blowing up.

See also:

Saturday, March 13, 2010

France has a carbon tax

Who knew? France now has a carbon tax:

... France became the largest economy to impose a carbon tax on individuals and businesses using coal, gas or oil, with the explicit intention of changing people's patterns of energy use. The tax is US$24 per tonne of emissions now, but it will rise over the years...
Go France!

This is the first time I can remember France leading on anything. It certainly didn't get much coverage in the US, though that's hardly surprising. What could be less popular in America than global warming + taxes + France?

Happily, Gwynne Dyer posts his article notices on Twitter (see also) so I look forward to hearing more news that's forbidden in America.
--
My Google Reader Shared items (feed)

Wednesday, February 17, 2010

American crisis – imagining a way out

 
This betrays a certain lack of historical perspective. We’ve been through worse, other nations have been through much worse. Compared to the American Civil War, the Black Death, or even the many versions of “great” Depressions we’re in pretty good shape.
 
Not that success is guaranteed, but it’s quite easy to imagine.
 
As a starting point, I’d suggest some subset of this list would suffice:
  1. Political reform. I’ve got another post brewing on this. Fourteen years ago I satirized “public incorporation” of representatives, but now we have corporate persons with political rights. We’re in trouble. Many current Senators appear to have early dementia, and our political candidates are often lousy. We need to rethink who we elect, how we elect them, and how old they can be. We should draw on ideas from professional training and licensing and from jury selection.
  2. Taxes. We’re going to raise taxes – a lot. We should do a Carbon Tax. We will do a VAT equivalent. We’ll do “death” taxes – again.
  3. Immigration - Oh Canada: Canada figured this one out years ago. We have too many decrepit boomers. We  need to balance my generation with vigorous, energetic highly talented youth. So let them in based on professional and academic qualifications and business guarantees.
  4. Inflation: 3% should help whittle down those foreign debts. Don’t say you weren’t warned China.
  5. Give up on the Empire. The Soviets couldn’t afford their empire. Guess what? We can’t either.
  6. Delay Dementia: We’re all going to have to work longer, but we can’t all bag groceries. For one thing, that job’s going to a robot someday. Unfortunately, normal brain aging means most of us won’t be good for much more by the time we’re 72. We need a ton of research into slowing the inevitable onset of dementia. (Ok, so if you die it’s not inevitable.)

Note that my list doesn’t include “controlling health care costs”. That one’s simply inevitable, so I don’t bother with it.

Monday, November 16, 2009

The world is going to get bigger

I don’t fly that much these days – maybe 10 flights a year. Yesterday I took one of my longer flights – from Minneapolis to San Francisco. On that flight I again thought about how the world is getting a bit bigger, and that it may get a lot bigger fairly soon.

That’s new. For most of my life the world got smaller. Air fare, especially as a percentage of average income, kept falling. Families spread out. My generation moved to take new jobs.

Air fares aren’t falling any more, and most people’s incomes aren’t rising much. When I consider increased costs of health insurance, my disposable income will be down this year – and I’ve been relatively fortunate.

On the other hand, air fare to Montreal (for example0 has more than doubled in the past nine months. The carriers reduced capacity, bought the competition, and now fly fewer but fuller planes at 2-3 times past fares.

Industry consolidation will continue to boost prices, but so will cap-and-trade carbon tax equivalents. There’s something much bigger coming though…

Energy security body calls for 'urgent' review of impact of oil shortages - Business – guardian

… Swedish academics unveiled their latest assessments of the numbers and came to even more gloomy assumptions. The study from Uppsala University entitled The Peak of the Oil Age estimated that by 2030 the world would be able to rely on only 75m barrels of oil a day, compared with the 105m forecast by the IEA.

Until relatively recently the agency was assuming the output figure would be as high as 120m and it still believes a peak of production could be reached in 2020, while Uppsala believes it might have already been reached…

I made my own “demand/supply peak light sweet” call in 2008 – in which I made wild ass claim that it would be apparent by 2015 that the demand/supply ratio for light sweet crude would cause prices to rise and crash and rise and crash their way to the $200/barrel mark (rise and crash because of secondary recessions, $200 because at that point serious conservation starts to align supply and demand).

Between some kind of carbon-tax-equivalent and “peak oil” of any form, air travel will at least double in cost over the next five years – even as profits continue to be squeezed.

That means a much bigger world to cross for the dispersed families of my generation. Maybe the next generation should stay closer to home base.

High speed rail, by the way, is looking pretty interesting.

Update 11/16/09: A follow-up article by The Guardian’s Monbiot: The one thing depleting faster than oil is the credibility of those measuring it - George Monbiot

Update 11/17/09: It occurs to me that a good measure of how real this stuff is would be to watch how very wealthy and smart people invest. I recall thatWarren Buffett recently bought some railways, and of course I'm not the only eccentric sort to make this connection ...

Wednesday, October 14, 2009

Compensate Saudi Arabia for CO2 reductions?

Wow. I didn’t see this one coming….

Saudis Seek Compensation if Oil Exports Fall - NYTimes.com

Saudi Arabia is trying to enlist other oil-producing countries to support a provocative idea: if wealthy countries reduce their oil consumption to combat global warming, they should pay compensation to oil producers…

The tactic has a familial resemblance to calls for wealthy nations to compensate less industrialized nations for the economic impacts of shifting away from low cost fuels.

I doubt even the Saudis really expect direct compensation, it’s much more likely to be a negotiating maneuver.

I’ll take this one as an encouraging sign that CO2 negotiations are getting real.

Saturday, July 04, 2009

Green shoots on climate change

The infamous green shoots of economic recovery are dust now, but I feel twinges of optimism about climate change.

A few weeks ago I wrote …

Gordon's Notes: Human progress and global climate change – are we good enough?

We are not what we were 20,000 years ago. We are not the people of 2,000 years past.

Hell, we’re not even the people I was born to.

We’re better than we were.

We’re better at damned near everything. I don’t know the how or why, but we’re still around 50 years post-fusion weapons. We got rid of Freon. We don’t routinely torture children in public schools. We have the ADA. We don’t smoke on airplanes. We have Obama. Gay unions, by whatever name, are inevitable….

…I think that if the climate change riff on our smoldering Malthusian crisis had come along in 2060 that we’d be ok. Fifty more years of Singularity-free progress and we’d be ready to handle our CO2 problem.

Except it isn’t 2060, and we’re struggling big time. The US Congress has passed a bill that gets us about 5% of the distance, and the Senate is expected to suffocate it. To add injury to injury, those who argued against the bill were babbling gibberish

Even then I came down on the side of mild optimism. Since then I’ve actually become more optimistic.

Why?

Well, first, there is that bill. Sure the Senate may kill it, but it was an admission. It’s like the first Surgeon General’s report pointing out that smoking wasn’t really a healthy habit. The bill doesn’t change much, but it changes everything.

The second came from Grame Wood’s Atlantic article on geo-engineering (aka terraforming or climate engineering). There are two advantages to the geo-engineering track. One is that it gives nature hating Republicans a face saving way to admit there’s a CO2 problem. Face saving because they can acknowledge the problem while still offending tree huggers and continuing to pave paradise. That’s progress – of a sort. More importantly, however, is that geo-engineering is a low cost weapon of mass destruction …

..The scariest thing about geo-engineering, as it happens, is also the thing that makes it such a game-changer in the global-warming debate: it’s incredibly cheap. Many scientists, in fact, prefer not to mention just how cheap it is. Nearly everyone I spoke to agreed that the worst-case scenario would be the rise of what David Victor, a Stanford law professor, calls a “Greenfinger”—a rich madman, as obsessed with the environment as James Bond’s nemesis Auric Goldfinger was with gold. There are now 38 people in the world with $10 billion or more in private assets, according to the latest Forbes list; theoretically, one of these people could reverse climate change all alone. “I don’t think we really want to empower the Richard Bransons of the world to try solutions like this,” says Jay Michaelson, an environmental-law expert, who predicted many of these debates 10 years ago.

Even if Richard Branson behaves, a single rogue nation could have the resources to change the climate. Most of Bangladesh’s population lives in low-elevation coastal zones that would wash away if sea levels rose. For a fraction of its GDP, Bangladesh could refreeze the ice caps using sulfur aerosols (though, in a typical trade-off, this might affect its monsoons). If refreezing them would save the lives of millions of Bangladeshis, who could blame their government for acting? Such a scenario is unlikely; most countries would hesitate to violate international law and become a pariah. But it illustrates the political and regulatory complications that large-scale climate-changing schemes would trigger…

So all those island states and African nations that will be destroyed by a 11 degree F rise in temperature have a card to play. They can nuke the sun, so to speak.

Call me a cynic, but I believe climate weapons will concentrate minds more effectively than a hundred pleas for common humanity.

The third green shoot come from a recent post by James Fallows …

semi-encouraging_climate-change

…The speakers were Thomas Lovejoy, a long-time biodiversity expert, and David Hayes, who has recently become the #2 official in the Department of Interior.

Lovejoy's presentation began with a reminder of all the bad things that are happening to wildlife, to biodiversity, to life in the ocean, etc as CO2 levels in the atmosphere go up, taking temperatures with them. But … he emphasized how huge a role the Earth's own natural processes and vegetations -- its forests, grasslands, wetlands, even deserts -- can play in absorbing much larger quantities of carbon from the atmosphere than they do now and thereby reducing the greenhouse effect…

… He tied this analysis to perhaps the most frequently-used chart in modern climate-change thinking -- one produced by McKinsey & Co and the McKinsey Global Institute comparing the relative costs of different measures to reduce greenhouse gas (GHG) levels in the atmosphere.

On the chart, the below-the-line items, on the left side, are GHG-reduction measures that save more money than they cost. Most of these are sheer efficiency measures (insulating buildings, switching to more efficient lights). The above-the-line escalating figures on the right are the rising costs of other abatement measures. The most expensive of them are high-tech "carbon capture and sequestration" systems, plus protecting forests in heavily-populated Asian countries.


mckinsey-low-carbon-cost-curve-2009-big.gif

Lovejoy's point was that a lot of "re-greening" steps are near the middle of the chart, either actually saving money or costing very little compared with a variety of clean-energy technologies…

… then Hayes stepped up with what was news to me. This was the announcement that the Department of Interior … is now quite serious about applying a "Re-greening" approach to the 20 percent of the US landmass under its control.

Hayes gave more details than I will recount here. They boiled down to a sequence of: trying to measure and understand the carbon-absorption properties of the various lands under its control; seeing how they can be improved, including with market-based offsets; telling the story to the public of why protecting and expanding forests, grasslands, wetlands, etc has an important climate-change component; making forest-preservation an important part of international climate negotiations (rather than talking only about clean-energy sources); and a lot more. (Including changes in U.S. agriculture, which are of course outside Interior's direct control, so that instead of being, incredibly, a net emitter of greenhouse gases, it has a positive effect. This is related to the Food, Inc. discussion of industrial agriculture mentioned here.)

.. it was surprising enough to hear from a senior DOI official and seemed politically and psychologically shrewd, in letting people think that there was some reaction to dire greenhouse gas projections other than holding their hands over their ears and wishing the whole problem would go away.

So we’ve got three green shoots. We’re painfully, slowly, moving to admit we have a very big problem. We’ve realized that poor nations in the path of the climate juggernaut have a (potentially lethal) card to play. And, lastly, a Rational President means we have a Rational Department of the Interior thinking about how humanity can win this one.

Today I’ll be optimistic … about climate change.

Health care? I still don’t see Americans coming to terms with the real options.

Monday, June 29, 2009

Human progress and global climate change – are we good enough?

We are not what we were 20,000 years ago. We are not the people of 2,000 years past.

Hell, we’re not even the people I was born to.

We’re better than we were.

We’re better at damned near everything. I don’t know the how or why, but we’re still around 50 years post-fusion weapons. We got rid of Freon. We don’t routinely torture children in public schools. We have the ADA. We don’t smoke on airplanes. We have Obama. Gay unions, by whatever name, are inevitable. Religious fundamentalism in American is on the wane. We got rid of the torturers. Maybe this year, maybe ten years from now, America will guarantee good-enough health care to every American.

Progress happens. Lots of progress. Yeah, we go backwards, just like real estate, the Dow, and average July temperatures. Backwards – in the short term. Long term it’s one hell of a trend.

So I think that if the climate change riff on our smoldering Malthusian crisis had come along in 2060 that we’d be ok. Fifty more years of Singularity-free progress and we’d be ready to handle our CO2 problem.

Except it isn’t 2060, and we’re struggling big time. The US Congress has passed a bill that gets us about 5% of the distance, and the Senate is expected to suffocate it. To add injury to injury, those who argued against the bill were babbling gibberish.

I think we’ll still work something out. It’s the Obama effect; the boundaries of the impossible have moved. It’s going to take a lot of effort from the Rationalists however.

So I’ll start with an exercise. I’m going to try to invent a plausible argument against a Carbon Tax-equivalent like Cap and Trade.

For my first Denialist argument I’ll admit that the earth has been been growing warmer, on average, over the past 150 years. There’s no sense fighting on this point.

Then I’ll grant that CO2 might warm the earth, but I’ll say that particulates also cool the earth. Moreover, I’ll claim, we can’t trust simulation data so we  really don’t have good evidence that CO2 emissions are warming the globe. The effect may be solar in nature, and the historic relationship of global warming to CO2 rise is merely coincidence [1]. Therefore, I’ll argue, we need to do more research before acting on CO2 emissions.

That’s one. For my second argument I’ll grant that the earth is getting warmer and CO2 is the cause, but over the next 100 years it’s cheaper to adapt (build submerged homes) than it is to reduce CO2 output. Most likely, assuming we don’t vent the methane, we’ll only have a 3-4 degree Celsius warming by 2100 and that will only reduce GDP by 5%. By the time we get to 2060 we’ll be sucking yottawatts from parallel universes and we can dump the CO2 back into whatever cosmos we’ve depleted.

For my third argument I’ll grant the earth is getting warming, and that CO2 is the cause, and that we can’t “adapt” without risking human civilization and the lives of billions of people. In this case we should invest in terra-forming and climate engineering, such as CO2 sequestration or high altitude aerosol deposition, and forget about Carbon taxes.

So far I’ve come up with three semi-rational contrarian arguments all opposing a Carbon Tax (equivalent). I’ll call them “Solarian”, “Adaptionist”, and “GeoEngineering”. The three cover a spectrum from very weak (Solarian) to worthy of discussion (GeoEngineering).

The latter two are reasonable enough that most Rationalists would include aspects of them in a full-spectrum response. Personally I believe the “Adaptionist” argument makes unrealistic assumptions about the willingness of millions of humans to go gently in the night, and I think the GeoEngineering is astoundingly unlikely to work. Still, I think we’ll have to have some Adaptation (Leaving New Orleans…) and the GeoEngineering approaches do deserve study and testing.

Are there any quasi-Rational arguments against a Carbon Tax (or equivalent) that I’ve missed?

[1] An odd coincidence of course.

Saturday, January 24, 2009

Managing the biggest global warming problem -- the American public

It's been noted before that an African Plains Ape is going to worry more about global cooling than global warming. That's particularly true for apes living in a temperate climate ...
Obama Urgent on Warming, Public Cool - Dot Earth Blog - NYTimes.com

The latest in an annual series of polls from the Pew Research Center on people’s top priorities for their elected leaders shows that America and President Obama are completely out of sync on human-caused global warming...

According to the survey of 1,503 adults, global warming, on its own, ranks last out of 20 surveyed issues. Here’s the list from top to bottom, with the economy listed as a top priority by 85 percent of those polled and global warming 30 percent: the economy, jobs, terrorism, Social Security, education, energy, Medicare, health care, deficit reduction, health insurance, helping the poor, crime, moral decline, military, tax cuts, environment, immigration, lobbyists, trade policy, global warming...
The only reason global warming outranks head lice is that the public wasn't asked to compare the two.

Well, we knew this was going to be hard. The American public has been in the Twilight Zone for eight years, it's going to take years of education before there's public acceptance of a carbon tax, even a carbon tax that's offset by other tax cuts.

The history of tobacco education is both encouraging and discouraging. Encouraging because it worked, discouraging because the groundbreaking Surgeon General's report was published in 1964, but smoking in classrooms persisted into the 1970s. The real social transformations took place in the 1980s, and smoking bans in the 1990s.

So initial change took ten years, but real change took a generation. Of course the health impacts of smoking were not exactly deniable; even the hell-spawn tobacco marketers gave up on that line by the 70s. (Odd how Team Inferno also led GOP climate change denialism).

Since we're basically at ground zero in the US, this puts American acceptance of public sacrifice at least 10-15 years away. The 8 years of Bush-led paralysis may end up being the GOP's greatest crime -- which is saying something.

Well, it's probably too late for CO2 production control anyway.

Obama will have to move on things without public knowledge or support. That means a lot of money for public education (even if the results will take another 10 years), research on climate engineering and low CO2 emission energy, EPA limits on CO2 production to reduce coal driven CO2 emissions, a gasoline tax for "energy independence" that will be offset by a payroll tax, and backroom deals with China and India.

The single most important contributor to human survival, however, will be to keep an unreformed GOP out of power. That's why Obama is going to have to tread softly, and act covertly -- the electorate can't be frightened.