Where does the economics actually land on that debate? So the

economics actually lands on, I would call it an all of the above strategy for reasons that are not actually terribly obvious ex ante.

Like if you think about the simplest possible model you could think of about the economics of climate change and reducing emissions, like the sort of model you would teach undergraduates in a intro to microeconomics class.

That model would point to saying that really all you need to do here to deal with this problem, the fact that burning fossil fuels to get the energy that people need releases these emissions that cause climate change.

There's one simple trick to solve it.

All you need to do is put a tax on emissions.

That is basically you need to price carbon, probably do it on the demand side, not the supply side.

Is that something that is feasible, that is realistic, that is a good use of taxpayer money? At the very least, it's something we should be thinking

And so I was wondering if you could talk about how this blockade or Iran blocking the Strait of Hormuz, how that's affecting global supply and more just not just the general global supply, but who is it affecting most?

Great, yeah, so I'll start my remarks in a very similar place from Paul.

So I too was sitting here in this room about two months ago having a very similar conversation the last time the United States struck a country that it was politically at odds with that also happened to be a producer of oil.

And during that Venezuela conversation, which I suspect some of you were at, I think the point I really stress in that conversation is that from the perspective of oil prices and oil markets, The Venezuela raid was kind of a nothing burger.

And I said that for two reasons.

One is that Venezuela just isn't that much of a major oil producer anymore.

It's been producing less than one million barrels a day.

Yeah.

And what, what, what would you-- What do we think is gonna happen there?

Great.

Yeah.

Happy to be here.

Thanks for having me.

Uh, yeah.

It seems like the number one thing Trump seems to be talking about now with respect to Venezuela and what's next seems to be oil.

Oh, right.