Now Paul Krugman is Stealing $11,000 from Every American Household

Conn Carroll / May 01, 2009

In his New York Times column today, Paul Krugman writes: “I cringe when “green economy” enthusiasts insist that protecting the environment would be all gain, no pain.” We feel his pain. But then Krugman goes on to write:

Consumers would end up poorer than they would have been without a climate-change policy. But how much poorer? Not much, say careful researchers, like those at the Environmental Protection Agency ….

But the EPA made some revealing assumptions about the relationship between carbon emissions and economic growth in their study. Specifically, to keep the costs of emissions reductions as low as possible, the Obama EPA assumed a GDP growth rate of 2.5% per year. But to keep their deficit projections as low as possible, earlier this month the Obama OMB assumed a 3.3% growth rate. (more…)