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The Impact of Carbon Tax on GDP and Environment

Mohammad Khaerul Azis and Tri Widodo ()

MPRA Paper from University Library of Munich, Germany

Abstract: This study aims to examine the impact of imposing carbon taxes as an effort to reduce the effects of greenhouse gases. By using GTAP-E, this study found that the imposition of a vehicle carbon tax of 5 percent resulted in a reduction in the GDP rate of 0.01 percent and effectively reduced the level of carbon dioxide emissions by 0.06 percent.

Keywords: Carbon tax; GTAP (search for similar items in EconPapers)
JEL-codes: Q51 Q52 Q53 Q58 (search for similar items in EconPapers)
Date: 2019-01-07
New Economics Papers: this item is included in nep-ene, nep-env and nep-pub
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