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[–] 3 points 2 years ago

A failure to set an excise tax on a product or service that offsets its externalities is not a subsidy. A lower tax rate than a competing product is arguably a subsidy.

I'm not aware of any modern societies that make a credible attempt to adjust the price of all or most goods and services to include their externalities. That sounds like a good idea in theory, but very difficult to implement in practice.

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