Comment by ecshafer

15 hours ago

The issue with any significant steps to curbing the climate or environmental impacts with laws or treaties is always: But the economy. It creates an incentive where someone doesn't follow the laws, burn everything they can to accelerate their economy, and take industry from other countries.

My proposal is thus: create a supranational treaty organization with a EPA like authority(or whatever the European equivalent is) that can inspect and fine companies in member organizations. Then any treaty members agree with the following conditions: The EPA can enter their nation freely, inspect, and are able to fine companies that break rules. Members send delegates to a session to create new rules democratically. And most importantly all members act as a cartel, imposing large tariffs on any country outside of the organization. So if US was in and Mexico was out, you couldn't just pollute in Mexico, without some massive tariff. This creates an economic incentive to be in and clean.

"But the economy" is an out-of-date framing. The cost of renewables has been plummeting for well over a decade. New renewables are now cheaper than new fossil fuel plants in most of the world, and in many regions they're already competitive with or cheaper than simply running existing fossil fuel infrastructure. As modern wars in Ukraine and now Iran are increasingly demonstrating, they are not only cost effective but rapidly a matter of energy sovereignty and national security.

That's not to say we won't need treaties and supranational entities for some aspects of decarbonization. Methane emissions outside of agriculture are notably a problem of enforcement.

We're badly in need of a collective update to our priors regarding renewables. In the US, a hostile policy toward renewables is not only shooting ourselves in the foot environmentally, we are now actively impoverishing ourselves due to entrenched economic interests across the fossil fuel industry and the cultural inertia they actively worked to develop.

  • A new US administration and Congress need to be voted in. There is one party who backs fossil fuel interests and denies anthropogenic climate change. They're currently in charge. The American public didn't see that as an important enough issue in 2024.

    • They are forcing power companies to run coal plants that they don’t want to run (at a loss).

  • In principle, you are right. Cheaper than coal renewables are winning. Don't forget though, that fighter jets can't operate on batteries.

  • >"But the economy" is an out-of-date framing.

    Then why is my electricity and gasoline both so much more expensive than they used to be?

We have needed tariffs for many years now. The EU has some tariffs on imports, but they are only used to level the playing field for companies in EU countries with emission rules against companies in countries without, and only in some select industries.

They need to apply overall, on all goods and services.

And emission limits need to be progressive over time, with a limit for each year, not just "x% at year 2030".

  • Cap and trade is so much more efficient. It allocates fossil fuels to the places where replacing it would be most expensive, without central planning.

    And slowly raising the price on a smooth forward looking schedule lets businesses make rational choices about budgeting for that or for migrating to greener options.

    Companies are excellent at adapting to acheive their best interests, to any predictable continuous (as apposed to discontinuous) economic change. Especially when it is a market based change, as that creates a level playing field.

Recycling someone else's quote:

"The economy is a wholly owner subsidiary of the environment"

Many people use the 'but the economy' argument (including my mother in law, maddeningly) without seeming to have any remote clue as to the truth of the quote above.

The real problem is that everyone has to sacrifice, but half the people think there is no problem and then other half thinks only corporations need to sacrifice (and are unwilling to sacrifice themselves).

  • No one thinks only corporations have to sacrifice; they do think that it's folly to ask individual members of society, who on average contribute the smallest overall proportion to global warming, to sacrifice while corporations continue to squander away our natural resources. And the pareto principle agrees.

    • Yeah but there's a lot of individual members of society, and nearly all of them benefit from supply chains that emit CO2 and would have to stop doing so in order to not emit the CO2.

      If gasoline in the US cost $20/gallon this would reduce the amount of CO2 emissions because suddenly driving a gasoline-powered car is much more expensive for everyone. This would make a lot of ordinary Americans very upset.

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    • No, that's insufficient. Yes, corporations that cause the most warming will need to be curtailed if we're to survive. But those corporations are in the act externalizing costs. Once you force them to internalize those costs, the visible costs to consumers will increase, meaning less consumption overall. If you can't convince those consumers that less consumption is a good thing if it's in the service of saving the biosphere, then they're going to rebel against your efforts to properly force companies to account for the environmental costs of their products. There's no either/or here, it's the responsibility of both corporations and individuals.

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  • One rule which always holds true in life: people who ask for sacrifice will never sacrifice an inch themselves. No matter what cause.

There is a Nobel memorial prize winning plan to do something like this in a more elegant, voluntary fashion. Nordhaus' Climate Club.

https://www.aeaweb.org/articles?id=10.1257%2Faer.15000001

It's essentially a carbon tax on local production and a corresponding carbon tariff on imports. Countries that already have a carbon tax or equivalent don't get tariffed. IOW, they're part of the club.

Usually a carbon rebate is also included in the plan, although that's not strictly necessary.

Germany was spear-heading an effort to create a carbon club, but it fell apart, unfortunately. At the time a club that didn't include the US seemed infeasible.

In 2026 a club that doesn't include Trump's America is a good thing, not a bad thing IMO.

And why would countries adopt this? So that other countries can use this cartel to push their own agenda? If anything it seems like it would be in every country's best interests to make sure such an organization doesn't exist.

In my opinion one of the reasons why European economies have been struggling for a long time is because energy has been much more expensive than elsewhere. Part of it is the excise tax on gasoline because it drives up the price of everything.

Even to this day EU countries where people earn less than a third of what Americans earn still pay more for gasoline.

> It creates an incentive where someone doesn't follow the laws, burn everything they can to accelerate their economy, and take industry from other countries.

I think the flaw in this thinking is thinking that burning things is the cheapest way to get energy.

Oil processing and extraction is a complex industry which requires a huge continued investment. Coal requires massive mining operations. Natural gas is probably the least intensive of the burny things, and it still requires a pretty advanced pipeline to be competitive.

Renewables are relatively cheap one time purchases. Save energy storage, the economy that is most competitive at this point is one powered by renewables.

That transition is already happening in the US without a massive government regulation/mandate. In china, it's happening a whole lot faster because the government is pushing it. And the chinese economy is at no risk of being outbid by smaller economies burning fuel.

The main reason burning remains a major source of fuel is that for most nations, the infrastructure to consume it has already been built. It's not because it's cheap.

The issue with any significant steps to curbing the climate or environmental impacts with laws or treaties is always: But the economy. It creates an incentive where someone doesn't follow the laws, burn everything they can to accelerate their economy, and take industry from other countries.

Or quickly develop to the point where solar, wind, and hydro is cheaper than getting dead fossils out of the ground and processing them.

I am not familiar enough with the economics of this to know whether we are close to that point, but I can imagine once we cross it, combustible fuel burners will be at a disadvantage if they haven't invested in infrastructure needed for renewables.

Honestly, if the economy is killing us all, then screw the economy.

The way our economic systems are set up is inherently anti-human and only benefits a tiny fraction of the population anyways.

It's time for a fundamental rethink.

  • Bu-bu-b-bu-b-b-b-bu-bu-bu-but supply and demand bro!!!! It's the free market bro! If people are buying, the free market has decided the planet is right to be destroyed!!

And what exactly would prevent a country like the United States to use its outsize resources to moot this org?

  • If the US refuses to participate in the energy revolution, then it'll be a Russia-tier power within a generation.

    • Empirically, Europe's embrace of the "energy revolution" has done far more to bring it closer to Russia, making energy 2-3x more expensive and gradually destroying Germany's industrial base. So much so that it can't even produce as many munitions as Russia, in spite of a GDP around ten times larger.

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My country mines rare earth metals. Your country processes them into computer chips. Joe and Jane's country want those computer chips to fuel their economy.

Who's getting fined, here? Me, because mining the stuff is inherently dirty (without, probably, significant research and capital investment)? You, because you need the stuff to build other stuff? Joe and Jane because they're the ones ultimately driving the production of the stuff? If you fine me into not producing the raw materials, what, ultimately happens to your economy and Joe and Jane's? If I don't sign up, where are you going to get the raw materials, if I'm tariffed into oblivion?

Sorry, I'm not trying to like, doom this away - but there are so many interconnected pieces, that I don't think it's a problem that can even start to be solved from an internet comment. At some point, voters in democratic societies need to decide that they care as much about the world their children will inherit as they do a ten cent difference in gas prices ten minutes from now. It's unclear that they ever will on a long term, consistent basis.

The economy is an abstraction. Millions of individual consumers are concerned with the environment and have demonstrated that they're willing to take individual actions to reduce their environment impact. However, individual consumers are not in charge of the economy, which is increasingly consolidated and monopolistic. The majority of pollution is coming from industrial activity, not from consumer activity, not even auto exhaust, and the most important decisions are made by wealthy industrialists who seem to care only about unlimited growth of their own wealth and power, at the expense of the planet. (Even if we're talking only about auto exhaust, think about how return-to-office was forced on workers against their will after the pandemic. Non-wealthy individuals simply don't have the leverage over mega-corps.)

From a political perspective, I think the problems of global warming and wealth disparity go hand-in-hand. It's difficult to solve one without solving the other. To the extent that the ultra-wealthy own the politicians, or actually become politicians themselves, there is little hope for environmental regulation.

Consumers don't need or necessarily even want unlimited economic growth. That only "helps" consumers if they're relying essentially on trickle-down economics, where we have to allow the ultra-wealthy everything they want in the hope that they'll spare us some change. A more equitable distribution of the current wealth would reduce the pressure to produce ever more, more, more.

Consumers usually want products that they own, not rent, products that last for a long time and don't need to be constantly updated or upgraded. Coincidentally, this is also better for the environment. Producers often want the opposite of that, in order to maximize profit. So what we get depends crucially on the power balance or imbalance between consumers and producers. This is where consolidation and monopolization become a major factor.

A lot of the "convenience economy," dominated by temporary, disposable goods, is predicted on consumers having no free time, because they're constantly working. Despite vast improvements in worker "efficiency," we haven't seen comcomitant reductions in the number of hours worked. The future of leisure facilitated by technological advances, which everyone was imagining 50-60 years ago, never became a reality. The technology did advance, but the leisure did not. The other day (or night) I noticed Amazon delivery drivers arriving for neighbors after 9pm; this is a dystopia.

  • > So what we get depends crucially on the power balance or imbalance between consumers and producers.

    Gosh, if only consumers and producers were the same people. What could we call this new economic paradigm?

    But no, economic monarchy is the only way to have Freedom (TM)(R), so let's slap on some easily-sidestepped regulations and keep going the same direction! It'll probably turn out fine.