For every $100 billion that the United States centrally directs to clean energy, GDP may decrease by over 0.4%. Compounded over a generation, this reduction approximates today’s per capita income gap between the United States and Italy. In addition, the physics of climate variation may be such that little benefit will come from slowing our rates of carbon emissions. And in any event, centrally directing resources to clean energy can fuel environmental degradation by encouraging inefficiencies in the production of energy, which can cause people to consume more resources for any level of energy-use and spend more of their shrinking budgets on economic necessities rather than environmental amenities.
Read Dino Falaschetti and Matt Denhart's article from Forbes.com here.