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Yesterday, the White House released a fact sheet describing its
efforts to create a "
21st Century Clean Transportation
System". There's a lot of interesting material in
the plan, but all the headlines have been on the President's
inclusion of a $10/barrel tax on oil in his FY2017 budget as a
means of paying for the various improvements contained in the
plan.
The fact sheet doesn't use the words "carbon tax"
and it emphasizes the purposes for which the tax revenue will be
used, rather than the idea of internalizing the externalities
associated with consumption of oil. Moreover, it's
obviously not economy-wide; it's not a tax on all sources of
carbon utilized in the economy.
Nonetheless, it's a tax. On carbon. Sounds like a
carbon tax to me. Which of course is why the GOP legislative
leadership announced that the tax would be DOA on Capitol Hill.
Plus ça change, plus c'est la même chose.
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