People often argue that a high carbon tax — combined with the repealing of the income and investing taxes would be bad for the poor because it would raises prices on people who are already struggling to get by. That of course ignores the fact that they would be able to keep more of their paycheck, and if they invested rather spent their money, they would pay no taxes at all under such a system. Make it expensive to buy things, and people will buy less and invest more. There are essentials people need to have, but as prices go up, things move from essential to luxury, and people prioritize things that need in their budget.

 

I often hear that people complain that it’s anti-poor people to raise the prices at fast restaurants and other forms of unhealthy food, because then the poor people would have to pay more for McDonald hamburgers and Fried Chicken. But that kind of food is terribly unhealthy, and higher prices would motivate people to cook more at home and pack their lunch. Likewise, if a higher minimum wage means higher prices at fast food restaurants, and people avoid them, then it’s good for all. A peanut butter and jelly sandwich made at home might not be a healthiest option but it sure is cheaper and healthier then what you would get at a fat fryer pit. Plus then you can include carrots or celery with your lunch.

 

While I am not against helping the poor — good public parks, libraries and affordable or free public transit can be beneficial to the whole community — holding the line on prices of consumer goods shouldn’t come at the cost of a dirtier environment, lower wages, unsafe working environments, or reduced public health. While we all like cheap things, if we could stimulate the economy to preserve jobs by reducing taxes on economic growth, and focus more on taxes on bad things in society, we could have healthier and prosperous communities, even if folks grumbled more at gas pump or grocery store.