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Author: | Lighhart, J. Ploeg, F. van der |
Title: | Environmental policy, tax incidence, and the cost of public funds |
Journal: | Environmental and Resource Economics
1999 : MAR, VOL. 13:2, p. 187-207 |
Index terms: | ENVIRONMENT POLICY TAXATION |
Language: | eng |
Abstract: | This paper studies under what conditions a "double dividend" may occur in the sense that both environmental quality and employment rise. A simple static general equilibrium model is employed in which tax policy faces the dual task of internalising a negative environmental externality and raising revenue to finance public consumption. The model features a clearing labor market with both labor demand and supply and a fixed factor of production (e.g. capital). |
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