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The impacts of pollution control policies on the pollution in small open economies

Koichi Futagami () and Yasuhiro Nakamoto ()
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Yasuhiro Nakamoto: Faculty of Informatics, Kansai University,

No 19-08, Discussion Papers in Economics and Business from Osaka University, Graduate School of Economics

Abstract: We examine the effects of tax policies on pollution in a small open economy. There are two pollution causes: consumption activities of households and production activities of rms. In this setup, we examine how tax policies affect pollution and the small open economy. Considering that pollution control policies are undertaken only for temporary periods in countries, we mainly focus on duration of governments' pollution control poli- cies; that is, permanent and temporary policies. The main nding is that the government in the small open economy need to tackle pollution problems from a long-term perspective in order to decrease the level of pollution.

Keywords: Pollution; Pollution control policies; Temporary and permanent policies; Small open economy (search for similar items in EconPapers)
JEL-codes: F41 H21 Q52 (search for similar items in EconPapers)
Pages: 42 pages
Date: 2019-05
New Economics Papers: this item is included in nep-env and nep-pub
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