New at Reason: Ron Bailey, Lynne Kiesling, and Fred L. Smith Debate Global Warming
June 9, 2008, 12:00pm
In a feature from our July issue, Science Correspondent Ronald Bailey, Northwestern University senior economics lecturer Lynne Kiesling, and Competitive Enterprise Institute President Fred L. Smith debate what—if anything—should be done about global warming.
Read the whole thing here.
 |
| Click here to watch Lynne Kiesling, Ronald Bailey and Fred L. Smith debate climate change at the at the Reason in DC conference. |
Stephen Smith | June 9, 2008, 12:25pm | #
I was heartened to see that liberalization was a possible solution to the problem, but disappointed that you guys missed the biggest illiberal cause of global warming: transportation and land use controls. The US decided in the beginning of the 20th century that it was giong to forsake the private mass transit operators, and killed them by overregulation, anti-trust laws, and (ironically) giving them monopolies over certain areas which ensured that they didn't receive the competition necessary for innovation. Eventually, the system collapsed and the US essentially nationalized the human transportation sector by collecting gas taxes and building roads from here to Timbuktu. While the gas tax approximately covers the costs of all these roads and their maintenance (from big highways to local roads), it does not cover their opportunity costs – a vital thing in the business world – and therefore cannot be assumed that they would exist the way they do if their allocation and upkeep were left up to the private sector. (As a though experiment, imagine if a sidestreet in NYC were put up for auction. Likely it would be bought in a second and skyscrapers would by build on every inch of it. Extend this to one of NYC's main boulevards, and it's not difficult to imagine most being taken up by skyscrapers, with a small right-of-way for privately-owned mass transit.) These roads engender the sort of sprawl and low-density development that you see across America today.
Furthermore, land use restrictions like mandatory low-density development and mandatory minimums on parking skew the market towards low-density development. In Jonathan Levine's
Zoned Out, he finds that a whopping 78% of developers across the US believe that regulation is the biggest impediment to higher-density development, with a paltry 26% who think that lack of market interest is the biggest roadblock (no pun intended).
So, what's wrong with density lower than the market would otherwise provide? Density is a
huge benefit to the environment. Cities are more environmentally-friendly than suburbs, because people have to move around less within them. High-density buildings are good because they share walls, lowering heating and cooling costs, as well as saving in materials. They take up less space on the ground which returns more of the land to the wild, where nature can decide the best way to suck up the carbon from the atmosphere. However, more than half of all Americans live in the suburbs, with all the environmental degradation that comes with living somewhere where you need to drive 10 minutes to get anywhere.
The markets America needs to liberalize to deal with global warming are transportation and land use, despite the fact that many see those as only tangentially related to the problem of global warming. It's disappointing that a conference of libertarians discussing this issue doesn't even mention it.