After the Paris Climate Agreement, it is anticipated that carbon prices will differ across regions for some time. If countries use free allowance allocation as carbon leakage protection, only a fraction of carbon prices are passed through to consumers particularly by carbon intensive materials...

Equitable climate policies are required for a just and rapid energy transition. Here we model a novel carbon tax design accounting for the distribution of household consumption and carbon footprints across 88 countries covering the global north and south. The policy distinguishes luxury and...