Imperfect Competition, Labour Market Distortions and the Double Divident Hypothesis.

The paper explores the hypothesis of a double divident from environmental taxation. It is argued that an environmental tax reform, i.e. shifting the burden of taxation away from labour toward the environment can improve environmental quality, boost employment and increase welfare. The paper presents a general equilibrium model of a closed economy. A theoretical analysis is conducted in a second best world, where the economy is distorted by labour taxes.

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Year of publication:	1997
Authors:	Marsiliani, L. ; Renstrom, T.I.
Institutions:	Department of Economics, University of Birmingham
Subject:	MARKET STRUCTURE \| SOCIAL WELFARE \| FISCAL POLICY \| TAXATION \| TRADE UNIONS

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Series:	Discussion Papers.
Type of publication:	Book / Working Paper
Notes:	47 pages
Classification:	D40 - Market Structure and Pricing. General ; D62 - Externalities ; E62 - Fiscal Policy; Public Expenditures, Investment, and Finance; Taxation ; H23 - Externalities; Redistributive Effects ; Environmental Taxes and Subsidies ; J51 - Trade Unions: Objectives Structure, and Effects
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005738189