Capital, and by relation the system that centers the idea of Capital as a method for moving around resources is at the very center of this.
Since Capital follows near-term incentive, if the "pollute the world" path has a greater near-term incentive, that's where the market will follow. If a single member of the system goes for long-term incentive(not cooking the earth), other near-term incentive chasers will eat their lunch and remove a player.
The system itself is a tight feedback loop searching for local maxima, and the local max is often the most destructive. With chasing the local maxima, also comes profit and capital that influence the political system.
If capital inevitably follows destructive local maxima and defectors get eaten, then no coordination problem has ever been solved, right?
But we banned CFCs! We got lead out of gasoline! The Montreal Protocol exists and worked.
What you're describing is the default behavior of uncoordinated markets, not a physical law. The entire history of regulation and international treaties consists of mechanisms that override local incentive gradients. Sometimes they fail. Sometimes they work.
"The system itself is a tight feedback loop" treats the system as fixed rather than something humans have repeatedly modified. The question is whether we'll add the right feedback loops fast enough, not whether adding them is metaphysically impossible.
My original point stands: the bottleneck on MCB isn't that capital won't fund it. It's that the Alameda city council didn't know a field test was happening on their waterfront and NIMBY ... people ... made noise. Governance failure, not capitalism failure.
None of these were done via capitalism, they were done in opposition to it.
And I know you weren't claiming they were, but the problem is all the power centers behind global capitalism have captured government (at least in the US) completely and are doing everything in their power to strip existing regulations and make sure the only new ones aren't in the name of the common good, but only to build moats for themselves.
It is great that we solved these problems in the past, but we are increasingly not doing that sort of thing at all anymore.
It's certainly a governance failure, but I'm not sure what the fix for it is, and I don't see how capitalism gets off scot-free.
Eh. Cloud brightening is a temporary hack, stops working as soon as you stop actively doing it, and isn't an alternative to switching away from fossil fuels. It's probably worth doing to push back the "ice melts and releases more carbon" thing but let's not confuse it with the extent of what needs to be done. You can't actually solve the problem for $5B/year.
> AI investment is private capital chasing returns.
Getting private capital to work for you is a good way to solve the problem. The real problem is politics.
The EV tax credits and the subsidies oil companies get were costing about the same amount of money, but we only got rid of one of them. Nuclear should cost less than fossil fuels, but we're told that fission is scary and Deepwater Horizon is nothing but spilled milk so the one with the much better environmental record has to be asymmetrically regulated into uncompetitiveness.
If we actually wanted to solve it we'd do the "carbon tax but 100% of the money gets sent back to the people as checks" thing, since then you're not screwing everyone because on average the check and the tax cancel out and corporations pay the tax too but only people get the check. Then everyone, but especially the heaviest users, would have the incentive to switch to alternative energy and more efficient vehicles etc., because everybody gets the same check but the people putting thousands of miles on non-hybrid panzers pay more in tax.
The "problem" is that it would actually work, which is highly objectionable to the oil industry and countries like Russia since it would cause their income to go away, hence politics.
Yes it is. All solutions have trade offs.