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Although they are politically unpalatable, Pigovian taxes are eminently sensible as judged by standard principles of economics.
Is there any difference between cap-and-trade and a carbon tax?
A gas tax would inhibit excessive gasoline consumption while redirecting resources toward more socially efficient enterprises.
A deflationary spiral must be avoided at all costs since such a development would virtually ensure a global depression.
A "carbon tax" could be used to combat global warming.
While Mr. Snow helped steer the economy through a recessionary storm, he leaves for Mr. Paulson a more daunting task--getting the long-term fiscal numbers to add up.
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