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Effizienz und politische Durchsetzbarkeit: Die Verwendung der Einnahmen einer C02-Abgabe in der Schweiz

Reto Schleiniger and Stefan Felder

Swiss Journal of Economics and Statistics (SJES), 1998, vol. 134, issue III, 355-367

Abstract: In this contribution we propose to use revenues from environmental taxes within each sector to reduce wage taxes. Such a recycling scheme enhances the political feasibility of environmental taxes since no inter-sectoral transfers take place. Furthermore, we show that this proposal will lessen the distortion of efficiency in production compared to a sectoral differentiation of energy taxes. This result holds provided the cost share for energy in all sectors is smaller than for labor.

Date: 1998
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Handle: RePEc:ses:arsjes:1998-iii-7