William D. Nordhaus, who died Friday at 85, spent his career championing carbon taxation as the most effective way to combat man-made global warming. A Yale University professor since 1967, Nordhaus developed the DICE model to project how emissions policies affect warming and economic growth.
He argued that putting a price on carbon dioxide would slow climate change without severe economic harm, a concept he built on from economist Arthur Pigou. His work earned him the 2018 Nobel Prize in economics, shared with Paul Romer. However, his ideas faced fierce opposition from the fossil fuel industry, which commissioned reports attacking carbon taxes.
Gilbert E. Metcalf noted the industry spent wisely to block climate policy progress. Despite support from some conservative economists and former Treasury secretaries, the additional costs clashed with oil and gas interests.
Nordhaus maintained that polluters shifting costs to society led to excessive fossil fuel burning and climate harms. His legacy endures as a foundational influence on modern climate economics and policy.
Source: New York Times Business · Summarized by HeadlinesBriefing