Gernot Wagner: Climate Change and New Models of Growth 3/6

The video discusses the effectiveness of old economic paradigms, emphasizing that politics, not lack of economic thinking, hinders progress. It highlights the Clean Air Act's positive impact on GDP and productivity, showing significant economic benefits. The video also examines consumer behavior regarding fuel-efficient cars and the influence of politics on gasoline tax decisions.

What is the main barrier to implementing economic changes according to the speaker?

• Lack of economic models

• Insufficient funding

• Technological limitations

• Political challenges

What was the economic impact of the Clean Air Act of 1970 on GDP by 2010?

• Decreased by 1.5%

• Increased by 1.5%

• Increased by 3%

• No change

How much benefit does the Clean Air Act of 1970 generate for every dollar invested?

• $40

• $20

• $10

• $30

What is the benefit-cost ratio for the Clean Air Act amendments of 1990?

• $20 for every dollar

• $30 for every dollar

• $40 for every dollar

• $50 for every dollar

What is the average amount an American is willing to spend now for a dollar in future fuel savings?

• $0.72

• $1.00

• $0.50

• $0.85

Why is the federal gasoline tax set at 18.4 cents?

• Economic calculations

• Consumer demand

• Political compromise

• Environmental concerns

What does the speaker suggest is necessary for effective policy change?

• Increased funding

• Political consensus

• Technological advancements

• New economic theories