Henry George Lecture Focuses on Economic Responses to Climate Change

The potential of a carbon wealth tax (CWT) to mitigate the continuing threat posed by climate change was the subject of St. John’s University’s semiannual Henry George Lecture Series, hosted by The Peter J. Tobin College of Business on October 30.

Willi Semmler, Ph.D., Arnhold Professor of International Cooperation and Development (Emeritus) at The New School for Social Research in Manhattan, NY, discussed the economic challenges of climate risk and a transition to sustainable energy. In his recent book, Sustainable Macroeconomics, Climate Risks, and Energy Transitions—coauthored with scholar Unurjargal Nyambuu—Dr. Semmler argues that a CWT would be a valuable tool in reversing wealth disparity and controlling climate risk.

“A major problem is burden sharing,” Dr. Semmler said, referring to costs associated with carbon mitigation and efforts to build a carbon-neutral economy. “For this—the cost of transition—we support a carbon wealth tax. We can use the tremendous wealth on the globe to help deal with the challenges of climate change.”

Dr. Semmler was the keynote speaker at the Fall 2025 Henry George Lecture, delivered on the University’s Queens, NY, campus and via livestream. The series honors Mr. George (1839–97), a 19th-century American political economist who advocated for progress and social development, and who believed that, while privately owned, the economic value of land could be taxed to fund public services and promote social equity.

Dr. Semmler is a globally recognized expert in macroeconomics, financial economics, and the economics of climate change, whose research has appeared in publications of the European Central Bank, International Labour Organization, International Monetary Fund, and the World Bank. He is also a trustee at the Henry George School of Social Science in Manhattan, making him an ideal candidate to address the audience of more than 100 students and guests, including representatives from several Georgist organizations.

Conventional carbon taxes are levied on the flow of emissions from goods and services. Under Dr. Semmler’s model, a CWT would be levied on income derived from the carbon-intensive assets held by wealthy individuals and corporations. The plan targets the holders of capital responsible for environmental risk rather than consumers who might use products created by those individuals and corporations. 

According to Dr. Semmler, traditional carbon taxes can disproportionately affect lower-income households for whom the products are necessities. Targeting wealthy asset owners brings social fairness to decarbonization efforts. 

Revenue generated from the tax would finance climate programs and support the transition to a “green” economy.

“We have proposed not a tax on wealth in general, but a tax on some carbon-intensive wealth,” Dr. Semmler continued. “If you tax carbon-intensive goods, it all gets passed on to the final consumer in a bad distributional impact. Therefore, you should tax the wealth.”

Another hoped-for consequence of a CWT would be a shift of investor assets away from corporations subject to the tax —so-called “brown” businesses—toward green firms focused on renewable energy, including wind and solar power.

“There are huge financial portfolios from university endowments, sovereign wealth performance, or pension performance, so that if they do this properly with the tax and subsidies, you would have much more capital available for green and renewable energy,” Dr. Semmler explained. 

Opening the event, Maciek Nowak, Ph.D., Dean, the Tobin College of Business, welcomed the in-person and online audiences, emphasizing the high profile of the Henry George lecture series since its inception in the 1980s. Dr. Semmler’s 45-minute lecture, delivered in Tobin’s William L. Munson Lecture Hall, was followed by questions from St. John’s students, faculty, and alumni. Students seemed particularly engaged in a discussion that touched on the health of the planet and their future economic prosperity.

Simran Grewam, a senior majoring in interdisciplinary business, noted the relevance of Dr. Semmler’s research and the urgent need for its application. “These are issues we deal with every day,” Simran said. “It is our world to save, and we need to protect it for the generations that come after us.”

“As more and more pollutants emerge, it is very important for economics majors to see and care about the impact of climate change,” added Mohammed Shaikh ’25TCB, who graduated from Tobin in May with a degree in economics. “It is important for all of us to know what we can do to alleviate these risks.”         

During the question-and-answer session, junior Juliet A. Smith, who is majoring in economics, asked about the timing of proposals such as a CWT and similar efforts. She said that developing countries have already been feeling the effects of climate events, including wildfires, snowstorms, and hurricanes. Launching a tax program or green bond initiative would require additional time before they can be used to help rebuild from disasters caused by climate change. 

The Henry George Chair in Economics is an endowed position at the University launched with a grant from the Robert Schalkenbach Foundation, now known as the Progress and Poverty Institute. The position was established to reward, support, and encourage scholarly activities aligned with those of Mr. George. Aleksandr V. Gevorkyan, Ph.D., has held the Henry George Chair since 2019. 

Since 1981, the lecture series has welcomed distinguished economists exploring relevant issues in economic theory, including 11 Nobel Prize in Economics laureates. In his welcome remarks, Dr. Gevorkyan introduced Dr. Semmler as a key voice in the economics of climate risks.

“Professor Semmler’s work on financial economics and over the past 10 years on the economics of climate change in particular is an example of professionalism,” Dr. Gevorkyan said. “Not only is he a leading scholar, but he also works with his students and promotes their scholarship.”