Won't taxing fossil fuels hurt the economy?

Not in the long term. Countries such as Norway and Sweden employ carbon taxes and have a higher GNP per capita than Canada. The short-term impact of carbon taxes can be reduced by starting with a low carbon tax rate, and by compensating those who face unavoidable short-term costs.

In reality, the economy will suffer much greater damage as a result of investments made in the fossil fuel economy. These investments will perform poorly as the world inevitably makes a transition out of fossil fuels.