Natural Resource Economics Commons^™

Assessment Of The Environmental And Economic Impacts Of Fossil Fuel Subsidies, Evan Cobey

Undergraduate Theses and Capstone Projects

Renewable sources of energy remove dependence on fossil fuels. When renewable sources are adopted, they reduce damage to the environment from burning fossil fuels. Currently, fossil fuels are cheaper to produce, causing renewable energy to be used less. In the United States, fossil fuels receive heavy subsidies, keeping renewable energy in the periphery. This research explores the environmental and economic effects of subsidizing fossil fuels. Findings include that governments and citizens lose money when fossil fuels are subsidized. While subsidization initially makes them cheaper, they create expenses that are not factored into original costs, such as damage to human health …