The study said the carbon tax also would lower pollution by 20 percent by 2050, compared with 2006 levels, and prevents oil imports from rising. It would also shift energy markets to clean technology, a sector to which the United States has already devoted much capital, the report said.
Sebastian Rausch, an assistant professor of energy economics at ETH Zurich, co-authored the study with Reilly. The study assumed full employment and was based on an earlier Congressional Budget Office report that used a $20-per-ton carbon tax.
Right-leaning think tank the American Enterprise Institute (AEI) hosted informal discussions on the topic in July. GOP leadership, however, firmly dismissed the idea of a carbon tax following reports about the AEI talks.
Rep. Jim McDermottJim McDermottDem lawmaker: Israel's accusations start of 'war on the American government' Dem to Trump on House floor: ‘Stop tweeting’ A record number of Indian Americans have been elected to Congress MORE (D-Wash.) introduced carbon tax legislation in August, the revenue from which would be used to pay down the deficit and to offset cost increases. That proposal largely mirrors one from Sens. Maria CantwellMaria CantwellTrump signs bill undoing Obama coal mining rule Nine Dem senators say hiring freeze hurting trade enforcement Overnight Energy: Congress does away with Obama coal mining rule MORE (D-Wash.) and Susan CollinsSusan CollinsPruitt sworn in as EPA chief Comey meets Intel senators amid uproar over Trump-Russia ties EPA breaks Twitter silence to congratulate new head MORE (R-Maine).