The purpose of this paper is to provide reasonable estimates for the welfare cost of environmental tax reform in the U.S. economy. Unlike most previous studies that empirically evaluate the deadweight cost of taxation, the model employed here considers explicitly the joint allocation of leisure...

This paper is intended as a step toward the development of theoretically founded and operational environmental taxation formula in a second-best world. Recent studies find that environmental taxes typically exacerbate pre-existing tax distortions and, therefore, the optimal pollution tax should...

This paper shows the differences between how benefits are estimated and how they are distributed, calls attention to the policy variables that are crucial in explaining certain distributional outcomes, explores the importance of looking at the demand for characteristics when trying to benefit...