I personally love income disparity. It gives me something to work for. If everyone got the same income, you would not get a raise every year, unless everyone else got the same raise. The new hire with no experience would get the same pay as you. Is that fair? Sure is.
well, no income disparity will be pretty stupid in any economy.. - for the exact reason you state -.
However, it is not what most liberal wants.
Quebec GDP per capita is $29k.
which is far from being a third-world country output, as you called it earlier.
What is Canada's excuse for having such a poor GDP per capita compared to the United States?
Actually, I would rather say that's it's the USA's GDP per capita that is somewhat abnormal compared to the rest of the world. You have a lot of luck of having a new country, low civil problem, low population density and plenty of ressource for highly-mechanized industry during the 20th century.
Canada's excuse is.. well, not an "excuse" rather than a reason. Lower market base, and strange financial policies - until recently - kinda explained.
Can we get back to the topic at hand?
So what you are saying is I should be OK with polluting the planet with my non-ecco-friendly car because the money I save makes up for the pollution I make? Ok, when did become OK to do wrong things if you have the money to pay for it. OK, so lets come up with a speeding credit that allows people to drive above speed limit. How does that one work with you? Or are you gonna say it's not the same cause speeding kills people? But then pollution is killing the planet which will in turn kill people. Are you getting all this?
Doesn't it make more sense to not pollute then to pollute but pay a fee for it?
Well, yhea. For the exact reason I put earlier: such "tax" would not actually be collected by the governement, but by eco-friendly industry, who will have an incentive to develop more eco-friendly patents and technology.
There is a company in Quebec that created a device that catch CO2 in the atmosphere to produce carbon-based nutriment for the fields. Before the carbon-market, such technology would have costed too much for the income generated, but the company now also sells carbon credit generated by it's carbon-catching, which improves it's income and make the project economicly viable.
Such device will, over time, improve. The more the market will ask for carbon credit, the more patents and technology will be invented, improved or put to use (because before they were too expensive), and the more efficient toward eco-friendliness we will be as an industry overall. Economical Engineering.
It's the exact thing that happened in the oil field of Alberta. before, the mean to extract the oil was way too costly. But now that the oil is a sky-high price, it became profitable to extract it. The procedure was known for quite some time, but not profitable. After some time, the oilers are becoming more and more experienced, and develop more efficient way of doing their work.
If they had an economical insentive to catch their carbon emmission (as opposed to right now, where they pollute - and that's it -) and sell-them for carbon credits, they would do it. - except if there is a more efficient way of compensating for their pollution -.
You say that as if you are 100% sure of that and can back this statement up with proof that does not exist yet. Do you have a time machine or something?
Basic micro-economic theory, as Draginol put it. If you apply a tax to something, the price will usually be increased for the consumers (actually, sometime it's shared between producers and consumers, but I always had trouble explaining why to people wihtout a graph). On the other hand, if car producers gain an extra income if they produce fuel-efficient car, they will probably use the opportunity to lower their price and sell more - at more profit -.
But Draginol, as you put it, prices will probably increase for eco-unfriendly cars, on the short run only. Since they will probably see their profit fall a little, the producers will have a good economic incentive to actually try to create the best eco-friendly car available. Over time, they will build a good expertise around such technology, and the price will gradually drop.
Right now, there is only some norms for the industry to respect (I don't now what it is actually, but let's use an invented example). Example, if the norm is: no car should have a CO2 output of more than 1 ton/1000 km, you will see more car produced having a CO2 output of 0.99 tons/km. There is not insentive to become AS GOOD AS POSSIBLE, except trying to sell smugness to your customer with hybrid cars.