How Can Americans Could Use Subsidy Money More Wisely, Supporting a Clean Economy, Without Collecting Additional Money Into the Federal Budget?

Of course, the money on the basis of which investments have already been made must be paid out as promised. But the remaining money can be paid in a different way.

 

The money can be used to incentivize taxpayers to reduce carbon emissions. This would require a tax on every ton of such carbon dioxide, and the collected money, exactly the same amount that the taxpayer pays for carbon dioxide every year, must be returned to that taxpayer. If, for example, the taxpayer changes his behavior and emits less pollutants, he should still be paid the same amount for five years, using the money now allocated to subsidies. For five years, the taxpayer tries to get the highest possible payment for good behavior and to emit as few pollutants as possible. After five years, the taxpayer is only refunded the amount of money he pays for the carbon dioxide at that point, five years later.

 

The invisible hand of the markets would make the best decisions, without direct involvement of the government. This would be a real American way.