Paul Volcker signs up

Paul Volcker, former Fed chairman, is a member of the Pigou Club:

Volcker said taxes either on emissions or on petroleum could be effective in reducing global warming, although it would be difficult to reach an international consensus on the desired levels.

"It's an area where in my view the United States has been particularly delinquent," he said, adding it would be wiser to impose a tax on oil, for example, than wait for the market to drive up oil prices. A tax would give the government "some leverage that you can use for other things."

By "other things" I would include reductions in distortionary taxes.