Carbon Taxes: Real Misery, Imaginary Results

Carbon taxes aren’t merely pointless, they’re regressive. Politicians earn ‘green’ cred by making life worse for the poor.

When Canadian drivers fill up our gas tanks, 35% of the price we now pay is tax. If the average tank holds 64 litres, every time we gas up at $1 a litre, we’re handing over $22 not to the producers and distributors of this product, but to the government (see p. 4 here).

Since poor people have less money overall, taking $22 from them at the pump is a big deal. Via gasoline taxes, the poor are forced to pay a higher share of their income just to do ordinary things such as get to work, drop their kids at daycare, fetch groceries, and visit ailing relatives. This is called regressive taxation.

  • Physics grad

    This is all consistent with liberal values, they are after all regressives.

  • Jay Currie

    But the pointless part is important too.

    Global “Warming” is a con belied by 18 and a half years of static temperatures while CO2 has increased steadily. But let’s pretend that, somehow, that fact does not invalidate the idea.

    So if Canada reduces its emissions significantly does it matter? Why no. Because China and India between them will increase their CO2 emissions by several times the net reduction of Canada in the nest few years. They are not stopping building coal fired generation.

    This is a huge rip off by government. The only thing which creates a bit of humour in the situation is that the price of oil has dropped far enough that, while the taxes are still stupid, those poor people will actually be spending less per liter for a year or two. What makes that humour dark for Canadians is that we actually need the price of oil to be up over $90 to keep our rather large oil sector in business. Which means that we get more poor people with F150 trucks unemployed as the Oil Sands contract.

    • canminuteman

      On top of all that Global Warming would likely be a benefit to Canada anyway.

  • tom_billesley

    Progressives enamoured of regressive taxes. Who’d a’ thunk it.

  • AlanUK

    Aren’t you the lucky ones!
    Out of 28 European countries, In the UK we have the second lowest petrol/gas prices at 32.4 p per litre. Once 76p per litre tax is added, it’s the 5th highest in Europe with the rate of taxation being joint highest with the Netherlands

    Source (date 28/01/2016):

  • lolwut?