Arbeitspapier

Designing Fiscal Policy to Address the External Costs of Energy

This paper first reviews the conceptual case for, and appropriate design of, fiscal policies to address major externalities associated with energy use—global warming, local air pollution, and various side effects (e.g., congestion) from motor vehicles. Techniques for (roughly) estimating the magnitude of these externalities, and corrective energy taxes, on a country-by-country basis are then described. The implications for reforming energy taxes, and the potential environmental, health, and fiscal benefits from reform, are then discussed. A theme of the paper is the critical role of finance ministries in administering tax reforms and ensuring efficient use of revenues.

Language
Englisch

Bibliographic citation
Series: CESifo Working Paper ; No. 5128

Classification
Wirtschaft
Taxation and Subsidies: Externalities; Redistributive Effects; Environmental Taxes and Subsidies
Energy: Government Policy
Climate; Natural Disasters and Their Management; Global Warming
Environmental Economics: Government Policy
Subject
externalities
energy taxes
getting prices right
air pollution
global warming

Event
Geistige Schöpfung
(who)
Parry, Ian
Event
Veröffentlichung
(who)
Center for Economic Studies and ifo Institute (CESifo)
(where)
Munich
(when)
2014

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

This object is provided by:
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

  • Parry, Ian
  • Center for Economic Studies and ifo Institute (CESifo)

Time of origin

  • 2014

Other Objects (12)