Cash Clunker

At the University of California Energy Institute, Christopher R. Knittel (an associate professor in the UC Davis Department of Economics) has issued a revealing 13-page paper on The Implied Cost of Carbon Dioxide Under the Cash for Clunkers Program. In a nutshell, the analysis suggests that costs per ton of carbon removal exceed $200 – and may even approach $500. Even the minimum figure is more than 10 times the current cost of carbon credits in Europe, indicating that Cash for Clunkers is a grotesquely expensive way to achieve greenhouse gas removal. For a brief discussion of the paper see this article in Science Daily.

Published in: on August 18, 2009 at 4:35 pm  Comments (1)  

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  1. […] for Clunkers Update A little over a week ago, in Cash Clunker, we discussed UC Davis Professor Christopher R. Knittel’s assessment of “The Implied Cost […]

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