10 Oct '11, 3pm

Here's Why Coal's True Cost Is Much Higher Than We Pay : TreeHugger via @TreeHugger

Here's Why Coal's True Cost Is Much Higher Than We Pay : TreeHugger via @TreeHugger

Consumers are paying much too low a price for coal-generated electricity, because the price they pay does not take account of the very large external costs associated with generation. If consumers did have to pay the full cost, they would use much less electricity from coal -- maybe none, but that would depend on the alternatives. At one level, this is all textbook economics. Externalities like pollution are one of the classic forms of market failure, and Econ 101 says that this failure should be remedied through pollution taxes or tradable emissions permits that get the price right.

Full article: http://www.treehugger.com/files/2011/10/heres-why-coal-tr...

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