Markets and the environment

Here is an interview, from Wired, with Fred Krupp, who "... isn't your typical tree hugger." Krupp is the president of the Environmental Defense Fund. In the early 1990s he worked on the problem of acid rain avoidance and after noting the success of markets in dealing with the issue he says the following about approaches to carbon avoidance and global warming:

...I know that capitalism works, that American entrepreneurialism works, and we can damn well expect that private capital — not government money — will actually solve this problem.

(HT: Alex Tabarrok at Marginal Revolution)