Analysis of Emission Reduction Mechanism of High-Tiered Carbon Tax under Green and Low Carbon Behavior

Min Fu, Wensong Wu, Lixin Tian (), Zaili Zhen and Jing Ye
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Min Fu: Research Institute of Carbon Neutralization Development, School of Mathematical Sciences, Jiangsu University, Zhenjiang 212013, China
Wensong Wu: Jiangsu Province Engineering Research Center of Industrial Carbon System Analysis, School of Mathematical Sciences, Jiangsu University, Zhenjiang 212013, China
Lixin Tian: Research Institute of Carbon Neutralization Development, School of Mathematical Sciences, Jiangsu University, Zhenjiang 212013, China
Zaili Zhen: Jiangsu Province Engineering Research Center of Industrial Carbon System Analysis, School of Mathematical Sciences, Jiangsu University, Zhenjiang 212013, China
Jing Ye: Jiangsu Province Engineering Research Center of Industrial Carbon System Analysis, School of Mathematical Sciences, Jiangsu University, Zhenjiang 212013, China

Energies, 2023, vol. 16, issue 22, 1-23

Abstract: This article studies the emission reduction mechanism of high-tiered carbon taxes under green and low-carbon behavior in single and two-stage supply chains. First, based on the Cournot game model, it explores the impact of high-tiered carbon tax policies on supply chain carbon reduction decisions in the green exchange market. By analyzing the effects of implementing a high-tiered carbon tax policy, the basic characteristics of its implementation are identified, and the advantages of a high-tiered carbon tax compared to a unified carbon tax are summarized. Second, it establishes a carbon reduction technology investment cost-sharing model and a carbon tax cost-sharing model under the high-tiered carbon tax policy. It analyzes and studies the impact of high-tiered carbon tax policies on balancing the relationship between members of the two-level supply chain through optimal decision-making of the two-level supply chain under two cost-sharing strategies, revealing the emission reduction mechanism of the two-level supply chain under high-tiered carbon tax policies. The results indicate that there are extreme points in the emission reduction rates of producers in the green exchange market under both the high-tiered carbon tax policy and the unified carbon tax policy. It shows that the two cost-sharing strategies can effectively alleviate the cost burden for producers, increase their marginal profits, and promote further improvement in emission reduction. It explores the emission reduction mechanism of high-tiered carbon taxes and future research should delve into the emission reduction mechanism of high-tiered carbon taxes in different carbon emission departments and regions.

Keywords: high-tiered carbon tax; carbon reduction decision-making; emission reduction mechanism; supply chain; cost-sharing (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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