TT's Lost in Tokyo — by TokyoTom

The right-wing Business & Media Institute has published a rather confused piece by Chris Horner, senior fellow at the Competitive Enterprise Institute, in which Horner, while noting China’s progress along the environmental Kuznets curve (as I discuss here), prefers to wring his hands that the West, in order to deal with climate change, may feel compelled to adopt the same strong-arm approach that China has taken to trying to partially clear its filthy skies over Beijing during the Olympics. 

But Horner has his paradigms all mixed up. Environmental Kuznets curves are discussed with respect to particular countries – and for good reason, as a society’s response to externalities is largely dependent upon the particular mix of property rights and other institutions which such society may rely on to protect its people and their property from harms generated by economic activity.  But despite Horner’s worst nightmares, there is no “world government” (even as growing trade and wealth is gradually bringing different countries together and establishing a very interconnected world, a world that encourages China by allowing it to host the Olympics), much less a red-handed governing elite that can impose its will on the rest of a powerless world.

Indeed, while one might very well conceive of a global Kuznets curve, it’s quite obvious that information and transaction costs, political disunity and differences in wealth and perspective across the nations of the world make it very difficult indeed for self interested countries to reach meaningful and enforceable agreements with respect to shared resources like the atmosphere.  Even so, we are more likely to see such a political agreement or resource-management much earlier than we are to see the establishment of a unified global government that is capable of exercising a monopoly on force the way the Chinese government does.

It’s the very difficulty in reaching such agreements that underlies some of the pessimism among many that man is capable of addressing in a coordinated and meaningful way various global and regional problems, from those relating to unowned or open access resources to those relating to development and poor/kleptocratic governance (from Zimbabwe to the USA).

Further, on climate change discussions, the effort has stumbled not because of strong-arming of the kind that alarms Horner, but because Western nations have tried to craft overly sophisticated and bureaucratized trading mechanisms (based in large part on US insistence and experience) that were intended to reduce costs overall.

Accordingly, Horner’s “alarmism” is rather surprising.  One would think that the difficulties that the enviros have encountered in trying to coordinate global climate change policy would hearten Horner, who is a strong climate change skeptic, both on the science and on policy grounds.  Is Horner secretly concerned that maybe the enviros are right, and that delay on the policy front is buying us unavoidable future costs – in which case governments might decide to act with greater alacrity that they have shown to date?  If not, what is he worried about?

We’ve encountered “beam me up” Chris Horner before; as previously, I find his views to be puzzling – unless Horner, like “skeptical” scientists Pat Michaels and Chip Knappenberger, is becoming a warmer.  As Michaels and Knappenberger wrote in January:

“First off, it will take nothing short of a miracle for the 50% reduction to take place, and secondly, it probably wouldn’t stop the temperature from rising 2ºC above “natural” levels. …

“But the targets won’t come close to being met as a bits-and-pieces solution will not achieve the goal of halving current global CO2 emissions by the year 2100—much less any year before then. In fact, more than likely, these legislative efforts will not, to any noticeable degree, even begin to separate the blue and the red curves for a long time to come—far too long to avoid elevating global temperature 2 degrees above “natural” levels. 

That’s what the future holds in store. Get used to it.”