Europe Should Tax Gas From Russia, Not Ban It: Clive Crook

Europe’s governments are arguing over how to tighten their economic sanctions on Russia. The main gap in their punitive system is their continuing payments for Russian gas. Germany, especially, has been reluctant to impose a ban because its economy would struggle to cope with the consequences.

Economics suggest a much better approach: Instead of making Russian gas illegal, Europe should make it expensive.

Germany’s reluctance to adopt an outright ban is understandable. It imports almost all its gas, and the supply from Russia usually accounts for about half. Sources are difficult to switch (harder than for oil or coal) because ...