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 near-term 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.
- Sprache
-
Englisch
- Erschienen in
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Series: CESifo Working Paper ; No. 3168
- Klassifikation
-
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
- Thema
-
climate change
exhaustible resources
green paradox
carbon tax
Klimaschutz
Erschöpfbare Ressourcen
Ökosteuer
Kohlendioxid
Umweltpolitik
Theorie
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Hoel, Michael
- Ereignis
-
Veröffentlichung
- (wer)
-
Center for Economic Studies and ifo Institute (CESifo)
- (wo)
-
Munich
- (wann)
-
2010
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:44 MEZ
Datenpartner
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Objekttyp
- Arbeitspapier
Beteiligte
- Hoel, Michael
- Center for Economic Studies and ifo Institute (CESifo)
Entstanden
- 2010