Wednesday, May 12, 2010

Potential cost of Kerry-Lieberman Cap & Tax: $69 - $145 Billion per Year

The Kerry-Lieberman Cap & Tax bill establishes a price collar for CO2 emissions with a floor of $12 per metric ton (increasing annually by 3% + inflation) and ceiling of $25 (increasing annually by 5% + inflation). According to the EPA, US emissions of CO2 in 2009 were 5787 million metric tons. Thus, if the legislation is applied to all US emissions, the cost would be $69 Billion (floor) to $145 Billion (ceiling) annually, increasing ~6 to 8+% each year forever.

1 comment:

  1. Will someone please check the water in the Capitial to see if maybe a really bad batch of Obama Kool Aid has somehow polluted the system.

    Kerry has always been completely insane, so expect him to roll out bills that will destroy the US economy.

    But Liebermann?

    Well, I guess it make sense when you put the votes he has made in perspective of his entire career.

    When you do that, you realize that they are both nuts.