ISSN:
1573-1502
Keywords:
environmental tax reform
;
optimal taxation
;
price-standard approach
Source:
Springer Online Journal Archives 1860-2000
Topics:
Energy, Environment Protection, Nuclear Power Engineering
,
Economics
Notes:
Abstract We explore the implication of the `doubledividend' debate for international environmentaltaxes. In our scenario, small open economies withdifferent labor market distortions follow a commonenvironmental policy and use national environmentaltax revenues to finance labor tax cuts. Since thedouble dividend hypothesis does not hold, a high labortax implies a low environmental tax relative to othercountries. The optimal differentiation ofinternational environmental taxes is proven to be afunction of the national labor tax rates and theuncompensated elasticities of labor supply.
Type of Medium:
Electronic Resource
URL:
http://dx.doi.org/10.1023/A:1008333918321
Permalink
