Climateer Investing favors a carbon tax over cap-and-trade as a means to reduce the usage of transportation fuels in particular, carbon based energy in general.
However, the deepest argument against our position that we've received is a pretty good one:
With gasoline taxes seven times higher than America's why haven't there been any transformative technologies developed in Europe?
Our answer: I dunno, fair question.
Here's the story from the IHT:
Based on current trends, European automakers will be unable to meet their decade-old target of reducing carbon dioxide emissions 25 percent by next year, according to a report published Tuesday. The findings could strengthen the hand of regulators seeking to crack down on auto emissions.
...But according to a study by the International Council on Clean Transportation, based in Washington, carbon dioxide emission rates by automakers present in the EU market ranged between 142 grams and 238 grams per kilometer in 2006, with an industry average of 160 grams per kilometer. The group forecast that by next year, average emissions would decline to 155 grams of carbon dioxide per kilometer, 11 percent above the 140-gram target....
What this means to investors
Look for the higher emitters to acquire lower emitters in an attempt to lower their fleet average emissions.
Low IQ analysis by the Climateer team.