Why not both? If we had a carbon tax the market would drive us to save wherever is most achievable

That is until the well-connected lobby carbon tax loopholes into the implementation and use the carbon tax yet another tool for regulatory capture to stomp out competition. Or, companies simply shift more production to developing countries to skirt taxes. We can create ecological disasters over there instead...

While I like the idea of attaching monetary costs to otherwise ignored externalities, I don't see the carbon tax having any chance of being fairly and effectively implemented.

> That is until the well-connected lobby carbon tax loopholes into the implementation

This is a fully general counter-argument against doing anything.

iirc Canada has a carbon-tax and its working fine?

Working fine by what measure?

Introduce CO2 tariffs. Get the republicans on board through protectionist policies that actually make sense.