This is one of the stronger arguments for a carbon tax: if you can’t ignore externalities, people have strong incentives to use less (e.g. buying a car instead of an SUV or biking) and all of the alternative fuel and process work is going to be easier if the cost comparison is more even.
It’s complicated: https://news.mit.edu/2025/decarbonizing-steel-tough-as-steel...
This is one of the stronger arguments for a carbon tax: if you can’t ignore externalities, people have strong incentives to use less (e.g. buying a car instead of an SUV or biking) and all of the alternative fuel and process work is going to be easier if the cost comparison is more even.