Green Throughput Taxation: Environmental and Economic Consequences

Annegrete Bruvoll () and Karin Ibenholt ()

Environmental & Resource Economics, 1998, vol. 12, issue 4, pages 387-401

Abstract: According to optimal taxation theory, raw materials should be taxed to capture the embedded scarcity rent in their value. To reduce both natural resource use and the corresponding emissions, or the throughput in the economic system, the best policy may be a tax on material inputs. As a first approach to throughput taxation, this paper considers a tax on intermediates in the framework of a dynamic computable general equilibrium model with environmental feedbacks. To balance the budget, payroll taxes are reduced. As a result, welfare indicators as material consumption and leisure time consumption are reduced, while on the other hand all the environmental indicators improve. Copyright Kluwer Academic Publishers 1998

Keywords: double dividend; dynamic CGE model; mass balance; material taxation; waste; welfare (search for similar items in EconPapers)
Date: 1998
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link)
http://hdl.handle.net/10.1023/A:1008234017015 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:kap:enreec:v:12:y:1998:i:4:p:387-401

Access Statistics for this article

Environmental & Resource Economics is edited by I.J. Bateman and R.K. Turner

More articles in Environmental & Resource Economics from European Association of Environmental and Resource Economists
Series data maintained by Guenther Eichhorn ().