It's because in general I believe tax money is not utilized effectively and their impact on demand is minimal. Non-tax policies could have similar effects. For example the government could impose a ban on <i>manufacturing</i> SUV vehicles or improve the public transport system. Increasing the age at which one could get a driver's license in the USA would probably reduce petrol consumption by a few percent (as more families have more than one car).<p>What evidence do you have that the money received in tax would not purchase goods and services that would increase emissions?<p>I never made an axiom that <i>no</i> good policy involves taxation. It was your assumption. The least you could have done was to ask me to clarify my position.