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‘Remarkably Cheap’ Climate Action Would Boost U.S. Economy

June 2, 2014
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One of the toughest critiques of forthcoming regulations on carbon pollution from fossil fuel generation shows the limits would reduce U.S. incomes by only 0.2% per year, according to Nobel economist Paul Krugman. The U.S. economy currently stands at $17 trillion and growing, and the latest report from the U.S. Chamber of Commerce calculates the carbon program will cost $50.2 billion per year through 2030. So “what the Chamber of Commerce is actually saying is that we can take dramatic steps on climate—steps that would transform international negotiations, setting the stage for global action—while reducing our incomes by only one-fifth of 1%,” Krugman said. “That’s cheap!”

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