Professor of Economics Gilbert Metcalf argued last night for a bill he helped write that would levy a tax on greenhouse gas emissions.
Metcalf said the tax would encourage "individuals to think twice before using energy." He advocated for a carbon taxation system as a way to limit greenhouse gas emissions while simultaneously reducing income taxes.
In his speech in Cabot Auditorium, Metcalf expounded on a piece he wrote, entitled "A Proposal for U.S. Carbon Tax Swap: An Equitable Tax Reform to Address Global Climate Change."
Though originally written as a policy brief, Metcalf's proposal was picked up by Rep. John Larson (D-Conn.). Metcalf met with Larson in the fall, and the two worked together to draft a carbon tax bill. The bill is currently in committee.
"All of this is in preparation for the next election," Metcalf said. "Right now, we are simply trying to get these ideas out and talked about. Once we have a new president, then we will see what happens."
Metcalf explained the reasoning behind taxing carbon dioxide. "What we really want to be doing is balancing benefits to reduce climate change against the economic costs," he said. "The textbook solution towards lowering greenhouse gasses would be to put a price on them."
The bill proposes that industries be taxed $15 for every metric ton of carbon dioxide equivalents they emit. This figure would rise by 10 percent as adjusted by inflation annually. At this projected rate, Metcalf estimated that over $87 billion would be raised in annual revenue, which would be redistributed in tax returns.
Metcalf explained that along with reducing greenhouse gas emissions, the bill also aims to improve the United States' credibility in environmental policy.
"What the United States does [to address climate change] is going to have a negligible impact by the end of the century," Metcalf explained. "What really matters is what India and China do. It's for this reason that the United States needs to take action and improve its credibility."
Audience members seemed receptive to last night's presentation. "I thought that it was extremely informative about current climate initiatives," senior Sara Laks said. "It was really exciting to see a member of the Tufts community so involved with such a progressive environmental policy."
The presentation was part of the Energy and Climate Forum series. Currently in its second year, the Energy and Climate Forum aims to gauge how much interest in energy and climate issues exists on Tufts' campus, said Mieke van der Wansem, the associate director of Fletcher's Center for International Environment and Resource Policy.
"The idea of starting this program was that it would be the beginning of what will hopefully become an energy and climate program at Tufts," van der Wansem told the Daily.
Van der Wansem expressed hope that Fletcher students and Tufts undergraduates would one day be able to study with a concentration in energy policy.
"Because energy and climate is an interdisciplinary field, the program would be a combination of courses taught by Fletcher professors, the Economics Department, and other relevant departments," van der Wansem said. She also said that she knows several students at Fletcher who are interested in concentrating in energy policy.
Metcalf is on leave for the 2008 academic year while he works at the National Bureau of Economic Research in Cambridge.
The event was co-sponsored by the Tufts Economics Department, the Tufts Institute of the Environment and Fletcher's Center for International Environment and Resource Policy.
