Fixing Climate Change, with (some) Justice
Climate change has the potential to end human civilization and despite the promises of most of the governments of this planet, we are nowhere near meeting even the least stringent goals needed to fight climate change. Additionally, green house gas emissions have largely come from developed countries who have profited immensely from them, while the harms of climate change are mostly felt by developing countries and those who were already at risk.
Because of that the United States should take what some might consider extreme measures to end our use of greenhouse gas emitting fossil fuels as rapidly as possible, while doing everything we can to prevent those measures from harming poorer and at risk people. I strongly urge you to push for the following three steps.
Tax the Rich
- Return, approximately, to the tax rates of the 1950’s by creating a new tax bracket that starts at $1 million per year with a marginal rate of 90%. Taxes owed in this bracket should not be subject to any exceptions or deductions.
- Capital gains should be taxed at least at the same rates as income.
- Corporate tax rates should also be returned to 52% (1952 - 1963). Returning to progressive rates (higher tax rates on higher profits) for corporations would help limit the harm this might do to small businesses.
- A wealth tax should be created that is 100% on any individual wealth over $10 million.
Universal Basic Income
- All of the new taxes collected above would go to create a sovereign fund. E.g. if the previous top marginal rate was 45%, and the new rate was 90%, then 45% tax on the income in that tax bracket would go to the sovereign fund. The other 45% would go to the US government, as usual.
- The fund should be invested, cautiously and carefully, both in terms of income and also not doing harm. E.g. no investing in fossil fuels in any way.
- As soon as profits from the fund are large enough, begin paying a guaranteed income. Ideally it would be universal, all US citizens and legal residents. As well as being ‘basic’ in the sense of enough to cover food, housing and health care. Both of those could be waived in the beginning, as long as those most in need are the first to receive payments. Care should be taken to make sure the fund is stable enough so that payments, once started, never stop or get smaller.
End (almost) all use of Fossil Fuels
- Nationalize all of the largest companies that are involved in any aspect of fossil fuel prospecting, extraction, refining or distribution.
- Reduce costs/increase profits:
- Immediately institute a max 5 to 1 income inequality rule. The highest paid person can't make more than five times the median salary, including all forms of compensation.
- Immediately end all stock buybacks and dividends.
- End all political contributions.
- Increase prices to include the societal costs of burning fossil fuels
- 100% of after tax profits would then be used to end our use of fossil fuels.
- Possible methods:
- Begin phasing out all extraction of fossil fuels, with the goal of zero by 2030 at the absolute latest.
- Build or fund building of renewable energy systems. Wherever possible these would be planned and owned by local governments, especially indigenous groups.
- Build or fund building of electric high speed and local rail lines.
- Build or fund building of protected bike and pedestrian lanes.
- Change all automobile advertising to ONLY show EV's.
- End production of fossil fuel vehicles.
- Ideally, prioritization of methods would be based on data, with the most polluting sectors addressed first. Some exceptions could be made for fast and/or inexpensive methods, e.g. bike and pedestrian lanes.
Notes
- For some moral and ethical reasons why wealth should be limited see: Limitarianism: The Case Against Extreme Wealth by Ingrid Robeyns (2024). Astra Publishing House. A summary of the idea
- For very broad coverage of climate change and its relation to consumerism and inequalities of many kinds, see The Climate Book by Greta Thunberg (2023). Penguin Publishing Group. This is a long book and I found it difficult to read for multiple reasons. I strongly recommend starting by reading the last section, "What Next?", with an open mind, then go back and start reading from the beginning.
- Historical tax rates:
- Personal income tax rates: Table 1
- Corporate tax rates (From IRS and TaxFoundation):
- 2018-2020: 21%
- 1952-1963: 52%
- Morally and ethically, the first two steps above are worth doing, even on their own.
