Is the Green New Deal (GND) a liberal pipe dream, or is it an opening for an economically viable, bipartisan climate change solution?
The program put forward by Rep. Alexandria Ocasio-Cortez (D-N.Y.) and her team reimagines the U.S. as a nation with no carbon emissions, full employment, a fair and equal economy, and justice for all. This GND proposal pairs massive government spending with quantitative easing by the Federal Reserve to achieve these aims. Since we can just print money, the argument goes, it would cost nothing.
Not so fast. Whereas deficit spending and a Fed stimulus package are good policies in a deep recession, we are now near full employment. For a Green New Deal to work now, we will need to pay for any federal investment with higher taxes. Moreover, that investment should be rolled out gradually.
Many news outlets are questioning how long Scott Pruitt will hold onto his job at the EPA as criticism of his spending continues. However, even if Pruitt loses his position, it’s likely that his views and positions will continue to live on at the EPA and elsewhere—especially if, as expected, his deputy director were to take over. This, of course, is cause for concern. It may therefore be worthwhile to consider the continued resistance to views on global warming.
For example, The Chicago Tribune recently reported that Pruitt has once again questioned the scientific consensus that rising levels of carbon dioxide from human-fueled activity are warming the planet.
But now, according to the Tribune, he’s also taking a different tack. Even if climate change is occurring, as the vast majority of scientists say it is, Pruitt is questioning whether a warmer atmosphere might not be bad for human beings. While it is unclear exactly why Pruitt thinks things won’t be so bad for humans, it’s worth considering his arguments.
Indeed there is evidence that some things may do better with global warming—as Pruitt has suggested —poleward areas where the growing season is short, would likely benefit from longer growing seasons and crops could benefit from higher levels of CO2 in the atmosphere. In general, CO2 enhances growth and can increase water use efficiency.
But low lying coastal areas, such as Florida and the Gulf coast will surely suffer from sea level rise. Amplified by likely stronger tropical storms—some low lying island nations are almost certainly destined to disappear even if we hold the temperature rise to no more than 2 degrees. With large populations centers on the US coasts and coasts around the world, its pretty clear that coastal damage will outweigh the benefit from longer growing seasons in poleward areas. In addition, crops toward the equator including southern areas of the U. S. would likely suffer.
The oil industry is pinning its hopes on natural gas. To hear oil executives tell it, natural gas is a veritable “bridge between a fossil fuel past and a carbon-free future,” as Bloomberg News put it recently.
It’s a story that makes sense on its face: natural gas emits about one-half of the carbon dioxide of coal and about three-quarters that of gasoline. Power plants can get more electricity per BTU of natural gas than coal, giving it a further advantage. And in an electric vehicle world, the future of gas could look bright.
But natural gas is not our climate savior. The fuel—which consists primarily of methane—is cleaner than coal and oil, but it is by no means carbon-free. For regions of the world potentially new to gas, expensive investments in pipeline or ocean transport and distribution infrastructure are required.
At best, any “bridge” that the fuel provides to a future where zero-carbon-producing power generation technologies take over is short and narrow. True, gas generation may help firm up intermittent renewables, but the goal would be to operate these as little as possible, minimizing the use of gas. And yes, gas could come back with success of carbon capture and storage (CCS), but advances in this technology have so far not panned out.
Are big investments in new gas infrastructure worth it if fully utilized for only 20 years or so? The gas bridge is getting shorter and narrower as we delay serious action on fighting climate change.
Scott Pruitt’s confirmation last week as chief of the Environmental Protection Agency was a setback for environmentalists and scientists who waged a fierce campaign against the nominee.
As Oklahoma’s attorney general, Pruitt led or took part in 14 lawsuits that sought to block EPA regulations and policies intended to tackle climate change. In addition, his views on global warming put him at odds with both the stated positions of many companies and their current policies toward climate change.
Pruitt is one of many announced appointees who is hostile to efforts aimed at reducing emissions linked to global warming. Many in the administration are skeptical that climate change is caused by human activity or doubt its consequences will be significant. President Trump has expressed extreme skepticism about climate change, calling it a hoax created by China.
The crash in the price of oil — from $108 a barrel in June 2014 to below $27 earlier this year — has rattled the stock market, triggered layoffs across the energy sector, and plunged many oil producing countries into crisis.
Oil has since rebounded significantly from its lows, to above $40 a barrel, but the price plunge since 2014 has put much pressure on oil companies. Reports have pointed to an increase in debt among oil producers, raising the specter of default on bankruptcy and default on debt, withfollow-on effects beyond oil producers.
Looking at the numbers, the mortgage-debt crisis dwarfs what is currently happening in oil. According to a report in the Financial Times, the global oil and gas industry’s debts rose to $3 trillion from $1.1 trillion between 2006 and 2014. Compare that to the $10 trillion of housing debt weighing on Americans in 2008.