The Inflation Reduction Act and the United States' Climate Action Plans

The Inflation Reduction Act that recently passed in the United States is an example of how things can change in terms of trade due to the merging of climate and industrial policy and some protectionist elements./nUS centered its climate policies on market mechanisms but failed, hence the merging of climate and industrial policy./nThe anti-China sentiment is contributing to the desire to diversify away from a dependence on China, especially in battery production./nThe United States is the biggest oil and gas-producing country in the world and it's unrealistic to expect the politicians to voluntarily shift away from the fossil fuel industries without actively trying to replace it with cleaner energy industries.