Wednesday, July 23, 2008

Confessions, Redux

I am sufficiently emotionally involved in the continued practice of the Newfoundland seal hunt that I would be unable to condemn trade sanctions against the EU were they to ban the sale of seal products, despite such a trade skirmish being almost certainly welfare-reducing.

Now you know.

Also, I'm fairly sure I caught the EnvEcon people out on a mistake, claiming that the very inelastic nature of gasoline meant that dropping a gas tax would mean the price would rise by most of the amount of the tax. But the inelastic nature of gas means little additional consumption is spurred by the price drop, so most of the tax cut would actually be passed along to consumers, right?

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