Policy Shop: The Burden-Free Carbon Tax

New post up at Policy Shop. An excerpt:

It is completely feasible to have a carbon tax that is basically burden-free for the bulk of the country, especially the most vulnerable. All the government needs to do is estimate how much households will see their costs increase and then offset that increase through a cash benefit or a tax credit. This is not the way policymakers here have generally designed carbon taxes, but it is certainly one very reasonable way to do so.

Read the rest at Policy Shop.