Dividend or Tax Swap?

Dividend or Tax Swap? Laser Talk

CCL is proud to count President Reagan’s Secretary of State, George Shultz, as a member of our advisory board. Secretary Shultz has given us permission to call our carbon fee and dividend policy plan the “Shultz-Becker Plan”, after himself and the late Nobel Laureate in economics, Gary Becker, who jointly wrote a Wall Street Journal op-ed on this topic in 2013 [1]. Secretary Shultz prefers a dividend to any tax swaps as part of tax reform because it is the most transparent option, and the hardest to rig. He thinks tax reform should happen, but he thinks it should be done separately. We agree with him that if tax reform is done, it should be done separately.

Skeptic Claims and One-Liners

Carbon Fee Skeptic Claim: Your best shot at a carbon tax is through tax reform; why don’t you support that?
One-Liner: Like Ronald Reagan’s Secretary of State, CCL believes a dividend is the most transparent and hardest-to-rig option.

  1. George P. Shultz and Gary S. Becker. “Why We Support a Revenue-Neutral Carbon Tax”. Real Clear Politics . April 8, 2013.