December 19, 2010

Some Basic Economics of Carbon Taxes

by Harry Clarke

- This paper asks three questions. First, how do carbon taxes drive economic and environmental outcomes? Second, what is the appropriate economic base on which carbon taxes should be levied? Finally, how well does a carbon tax deliver economic environmental outcomes compared to a comparable emissions trading scheme.

Clarke, H. (2010). "Some Basic Economics of Carbon Taxes." CCEP working paper 4.10, Oct 2010.