Oh This'll Just Be Splendid: Obama May Levy Carbon Tax To Reduce Debt, Says Bank Holding Company HSBC

Happy Days are here again!

Barack Obama may consider introducing a tax on carbon emissions to help cut the U.S. budget deficit after winning a second term as president, according to HSBC Holdings Plc.

A tax starting at $20 a metric ton of carbon dioxide equivalent and rising at about 6 percent a year could raise $154 billion by 2021, Nick Robins, an analyst at the bank in London, said today in an e-mailed research note, citing Congressional Research Service estimates. “Applied to the Congressional Budget Office’s 2012 baseline, this would halve the fiscal deficit by 2022,” Robins said.

Electricity prices will necessarily skyrocket.

posted by Ace at 04:37 PM

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