Nick Smith is the bag man
It’s great to see the government taking economic incentives seriously. Their latest initiative considers imposing a 5c/bag tariff on plastic bags in supermarkets. The idea is that the market price for the bags doesn’t take into account the full environmental cost of non-biodegradable bags. By taxing the bags the government can adjust the market price of the bags to match their social cost.
What gets me so excited about it is that green regulations usually seem to take the form of rather arbitrary quotas and limits. Read more