Cap and Rent-Seek
By Arnold Kling
Under pressure from agriculture industry lobbyists and lawmakers from agricultural states, the Environmental Protection Agency wants to drop requirements that factory farms report their emissions of toxic gases, despite findings by the agency’s scientists that the gases pose a health threat.
Remember this story when people propose “cap-and-trade” programs to control pollution. Most of the “trade” under cap-and-trade will be political horse-trading, not market trading.