Arbeitspapier
Is there a green paradox?
A sufficiently rapidly rising carbon tax may increase near-term emissions compared with the case of no carbon tax. Even so, such a carbon tax path may reduce total costs related to climate change, since the tax may reduce total carbon extraction. A government cannot commit to a specific carbon tax rate in the distant future. For reasonable assumptions about expectation formation, a higher present carbon tax will reduce near-term carbon emissions. Moreover, whatever the expectations about future tax rates are, near-term emissions will decline for a sufficiently high carbon tax. However, if the nearterm tax rate for some reason is set below its optimal level, increased concern for the climate may change taxes in a manner that increases near-term emissions.
- Language
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Englisch
- Bibliographic citation
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Series: Memorandum ; No. 2010,13
- Classification
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Wirtschaft
Nonrenewable Resources and Conservation: Demand and Supply; Prices
Nonrenewable Resources and Conservation: Government Policy
Energy: Demand and Supply; Prices
Energy: Government Policy
Climate; Natural Disasters and Their Management; Global Warming
Environmental Economics: Government Policy
- Subject
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Climate change
exhaustible resources
green paradox
carbon tax
Klimaschutz
Erschöpfbare Ressourcen
Ökosteuer
Kohlendioxid
Umweltpolitik
Theorie
- Event
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Geistige Schöpfung
- (who)
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Hoel, Michael
- Event
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Veröffentlichung
- (who)
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University of Oslo, Department of Economics
- (where)
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Oslo
- (when)
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2010
- Handle
- Last update
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10.03.2025, 11:43 AM CET
Data provider
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Hoel, Michael
- University of Oslo, Department of Economics
Time of origin
- 2010