entails a transitory rise in inflation and a lasting, albeit moderate decline in GDP. We show that the short and medium …

What is the effect of carbon pricing on inflation? This paper shows empirically that the consequences of the European … Union's Emission Trading System (ETS) and national carbon taxation on inflation have been limited in the euro area, so far … EU's 'Fit-for-55' commitments on inflation. The required increase of effective carbon prices from around 40 Euro per ton …