1. SOUNDBITE (English) William Nordhaus, Winner, Nobel Prize in Economics
"My own view is that there basically is no alternative to market solution. And the reason is that if you look around, who are we talking about that's going to solve the problem? It's you and me. There are billions of individuals, millions of firms, thousands of governments, hundreds of nations. And for them to take action, they're going to have to have incentives and the kind of incentives that we're talking about are not speeches -- we can we can sermonize all day -- but the incentives of market prices. To raise the prices of goods and services that are carbon intensive, and lower the ones that are less carbon intensive. It's not the only thing to do. I mean, we need to persuade people, we need to, we need to educate -- sounds condescending to say educate, but I think we do need to have people realize how important a problem this is."
2. SOUNDBITE (English) William Nordhaus, Winner, Nobel Prize in Economics
"The problem this is there's so much noise now, particularly in this country about about climate change 'it's a hoax perpetrated by the Chinese to help their manufacturing,' being one hoax that is particularly ridiculous given that climate change science was invented in the 19th century. But I think it will help. It's always helpful to have bodies such as the Nobel committee or such as the IPCC remind us about what the stakes are here. I do think that the carbon tax has not quite caught on yet outside of the economics community. I think it's it's if you look within the economics community, the idea of using carbon tax is pretty prominent, and not just among liberal Democrats, but actually even more so, I think, among Republican economists."
3. SOUNDBITE (English) William Nordhaus, Winner, Nobel Prize in Economics
"Well it's, I think it's a case of two steps forward one step back. This administration won't last forever. I think there's a, I think it's really anomalous among in the United States this degree of hostility to environmental policy and climate change policy. So all I can do is hope that we'll get through this without too much damage. Outside the United States, it's pretty widespread acceptance of the science, and even the economics, behind climate change news and climate change policy. So I just think we just need to get through what is a difficult period, but I am extremely confident that will happen."
Just one day after a United Nations panel issued an urgent call for action on climate change, the Nobel prize in economics was awarded Monday to one American researcher for his pioneering work on the economics of a warming planet _ and to another whose study of technological innovation raises hopes that people are creative enough to do something about it.
The Royal Swedish Academy of Sciences awarded the $1 million prize Monday to William Nordhaus of Yale University and to Paul Romer of New York University.
Nordhaus, who has been called "the father of climate-change economics,'' developed models that suggest how governments can combat global warming.
He has endorsed a universal tax on carbon, which would require polluters to pay for the costs that their emissions impose on society.
In the 1970s, Nordhaus, already alarmed by the threat of global warming, began working on potential solutions.
Gradually, he developed models to guide policymakers in balancing the economic costs and the societal benefits of combating carbon emissions. Nordhaus concluded that the most efficient approach was to deploy carbon taxes, applied uniformly to different countries.
By using a tax rather than government edicts to slash emissions, the policy encourages companies to find innovative ways to reduce pollution _ and their tax burden.
Versions of a carbon tax have been used in Europe but have yet to be adopted in the United States.