Unfortunately markets are not good at accounting for those kinds of external risks (but they could be with the right incentives, like a carbon tax.)

It's a tragedy of the commons scenario. I don't understand why politicians don't just do the hard/right thing. Supposedly that's why we have them. If they always just do the popular thing we could cut them out of the picture and go to direct democracy. I'm not advocating for that, but we need politicians to step up and do their jobs competently.

The way in which markets properly account for climate change is to suffer so much damage from the effect that the market collectively agrees to internalize the costs to the climate into prices of exchange - this price adjustment might not happen before cataclysmic levels of deaths or a tipping point that makes climate recovery infeasible and coping as our only recourse.

Additional taxes, in the US at least, as currently seen as being contrary to the American experiment by a large enough segment of the population that consensus won't be gained when, while driving on the highway, we see the bridge out ahead sign - nor when we see the cliff in the distance - nor even when we feel the front walls fall off into air. We'll reach consensus when we look out the front windshield and see the earth racing up to give us a kiss... At least that's my pessimistic opinion.

Their premise assumes humans are good at estimating risk. I’m not so sure that assumption holds