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Thursday April 12, 2001

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Using market forces to protect the environment

As we head into the summer with power shortages and rising oil prices looming over our heads, the environment has reclaimed its place in the forefront of our political discourse.

Promoting innovative methods to conserve natural resources has to be a critical policy initiative for President Bush. If he fails to strike the delicate balance between preserving the environment and protecting property rights, he will lose some of the crucial Democrat support he will need to win in 2004.

Market-oriented solutions give corporations the impetus to act responsibly. Tax incentives for research of more fuel-efficient cars that will actually appeal to buyers to get results. Selling pollution permits and allowing companies to exchange them freely is one way to get results.

Of course, existing environmental laws should be strictly enforced, but massive expansion of environmental bureaucracies and unreasonable restriction on the use of private land are not the answers.

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