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countries to reduce greenhouse gas emissions and other negative externalities from road traffic. This study, however, shows that … a tax on fuel should be combined with heavier taxation of fuel-efficient vehicles to curb externalities from road … traffic. The tax on fuel is implemented to curb externalities linked to both consumption of fuel and road use. The heavier tax …
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fulfill the Paris agreement and to curb mileage-related externalities from road traffic. The present study shows that a tax on … fuel should be combined with heavier taxation of lowand zero emission vehicles to curb mileage-related externalities and to … fuel. The road user charge on fuel is designed to curb mileage-related externalities. The heavier tax on lowand zero …
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We quantitatively characterize optimal carbon, capital, and labor income taxes in an economy-climate integrated assessment model that features overlapping generations and distortionary fiscal policy. First, we show that the optimal carbon tax significantly differs from the Pigouvian carbon levy...
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