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Thank you!
Yes, I mean externalities are a whole separate topic and routinely a touching point for economics.
To answer your direct question: no system can solve that type of disagreement. Only one CO2 rate can exist at a given time. If we disagree over what that is, even if we could control it (doubtful), any system of governance fails one of us.
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The first thing I know is that humans do dumb stuff on occasion.
The second is that we clearly can do dumb stuff that ruins nice things in the world: we can overfish a lake until all the fish are gone and then we can't fish there anymore (unless we stock it or something).
Given these two things, it seems possible that humans could do something on a big enough scale that it makes life less good for most of the people on earth (eg 1960s era mutually assured destruction).
It even seems possible that we could do such a thing unintentionally. Which is to say that externalities are real things. And I believe we should probably think about them.
The problem for me though is that I don't think regulations are very good at internalizing these things. In fact, I suspect that they are very bad at it. I suppose Goodall had faith in governments' abilities here.
But on glad you spent some time with the interview and wrote this because I am curious how you might deal with things that aren't included in price aignals.
Say I value the current CO2 rate in the air and say you value a higher CO2 concentration. It's not clear to me how a market can solve this disagreement.