Over the past two decades Democratic and Republican administrations have taken steps to reduce U.S. carbon-dioxide emissions by reducing use of fossil fuels. Despite growing public attention to the climate consequences of fossil fuel extraction, U.S. climate policy so far has not extended to the government’s role as a major source of fossil fuels. Kenneth Gillingham and James Stock propose to incorporate climate considerations into federal coal leasing by placing a royalty adder on federal coal that is linked to the climate damages from its combustion. A royalty adder set to 20 percent of the social cost of carbon would reduce total power sector emissions, raise the price of federal coal to align it with coal mined on private land, increase coal mining employment in Appalachia and the Midwest, and provide additional government revenues to help coal communities.
Using newly released data, The Hamilton Project presents an economic analysis and a new interactive feature to illustrate the great variation in the level and nature of water use across the country.
The water crisis is as much an economic issue as it is an environmental one, and it demands focused national attention. This Hamilton Project policy memo presents nine economic facts about water in the United States, focusing on relevant background context to the water crisis as well as on supply and demand issues. This memo underscores three topics: the occurrence of drought in the United States, the importance of water to the U.S. economy, and barriers to efficient uses of water.
In the face of a severe drought in the West, new approaches are required to mitigate the risk of water shortages. In this Hamilton Project paper, Peter Culp, Robert Glennon and Gary Libecap present five proposals to encourage the use of market mechanisms to increase flexibility and resiliency in water management.
The United States’ aging water infrastructure will be increasingly strained by population growth, economic expansion, and the effects of climate change. In this Hamilton Project paper, Newsha K. Ajami, Barton H. Thompson, Jr., and David G. Victor suggest that solutions to the country’s growing water challenges lie, in part, with the development and adoption of new innovative technologies. The authors present three policy and regulation recommendations to facilitate greater innovation in the water sector.
In this Hamilton Project discussion paper, Christopher Costello of the University of California, Santa Barbara proposes that certain fisheries conduct an analysis of alternative fishery management structures, including different forms of catch shares, to improve the economic value of U.S. fisheries.