Rent-Seeking and Global Warming
By Arnold Kling
The emerging alliance of business and environmental special interests may well prove powerful enough to give us cap-and-trade in CO2. It would make Hollywood elites feel virtuous, and it would make money for some very large corporations. But don’t believe for a minute that this charade would do much about global warming.
Read the whole thing. Global warming has the potential to be the rent-seeking orgy of all time. Already, it is creating opportunities for the “alternative fuels” industry to suction money from taxpayers.
As the WSJ piece discusses, “cap and trade” would open up a new channel through which the net worth of every industry would be a political variable. It will transfer hundreds of millions of dollars to K street. All for the sake of producing a non-solution to what is probably a non-problem.