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A mid-century net zero target creates a challenge for reducing the emissions of emissions-intensive, trade-exposed sectors with high cost mitigation options. These sectors include aluminium, cement, chemicals, iron and steel, lime, pulp and paper and petroleum refining. Available studies agree that decarbonization of these sectors is possible by mid-century if more ambitious policies are implemented soon. Existing carbon pricing policies have had limited impact on the emissions of these sectors because their marginal abatement costs almost always exceed the tax rate or allowance price. But emissions trading systems with free allowance allocations to emissions-intensive, trade-exposed sectors have minimized the adverse economic impacts and associated leakage. Internationally coordinated policies are unlikely, so implementing more ambitious policies creates a risk of leakage. This paper presents policy packages a country can implement to accelerate emission reduction by these sectors with minimal risk of leakage. To comply with international trade law the policy packages differ for producers whose goods compete with imports in the domestic market and producers whose goods are exported. Carbon pricing is a critical component of each package due its ability to minimize the risk of adverse economic impacts on domestic industry, support innovation and generate revenue. The revenue can be used to assist groups adversely impacted by the domestic price and production changes due to carbon pricing and to build public support for the policies.

We investigated whether carbon taxes with and without carbon dividends improve cooperative behavior to mitigate simulated climate change. We implemented a randomized controlled trial on a large sample of the U.S. general population (N = 2 , 116). Played in real-time in groups of four, we tested three carbon-pricing treatments and a baseline condition within a modified threshold public goods game of loss avoidance. We found that a carbon tax coupled with carbon dividends reduces carbon-emitting group consumption relative to a baseline condition with no tax, and relative to a carbon tax only. A carbon tax coupled with carbon dividends paid out to below-average polluters (asymmetric dividend) worked best, with 94% of groups remaining below a critical consumption (emission) threshold. We also found that experiencing the asymmetric dividend condition positively affected perceptions of carbon pricing with carbon dividends. [ABSTRACT FROM AUTHOR]

Climate change engendered by carbon emissions has become a major threat to human life and the world economy. Many of early studies corroborate that carbon tax and subsidy are effective policy tools to alleviate climate change. Most of them, however, use closed-economy models with a single firm to analyze the effects of these two policies. This paper explores the effects of carbon tax, subsidy and foreign carbon emissions on economic activities in an open macroeconomic model that features low- and high-carbon firms. The main findings suggest that carbon tax, subsidy and foreign carbon emissions all deliver heterogeneous outcomes by largely affecting high-carbon firms. The shortage of national income due to weak economic activities leads the economy to issue more international bonds. The takeaway from all the analyses is that government should introduce various carbon taxes that are geared towards target firms with different carbon emissions and adopt optimal means to manage national debt. [ABSTRACT FROM AUTHOR]

Introduction: By constructing a computable general equilibrium model of "carbon trading" and "carbon trade-carbon tax", this study aims to deeply explore the combined impact of these two policies on China's economic development and carbon emission reduction, so as to provide scientific decision support for policy makers. Methods: In order to accurately simulate the economic effects of carbon trading policies, the carbon trading module was introduced in detail in the "carbon trading" model, and the carbon trading cost was incorporated into the elastic substitution function production module. At the same time, in order to comprehensively evaluate the effect of the combination policy of "carbon trade-carbon tax", the cost of carbon tax is included in the constant elastic substitution function of production in the model. Results and Discussion: Through in-depth data analysis and model calculation, it is found that although a single carbon trading policy can effectively promote the reduction of carbon emissions, its impact on the economy is relatively moderate, especially in promoting the technological upgrading of the power industry. The "carbon trade-carbon tax" combination policy has further strengthened the emission reduction action, in a number of industrial sectors, such as coal, power, heavy industry and light industry, by significantly increasing the cost of carbon emissions to promote emission reduction. The above results show that carbon tax policies play an important role in balancing carbon emission reduction and economic development. Compared with the single carbon trading policy, the introduction of carbon tax makes the emission reduction efforts of various departments more comprehensive, and also contributes to the stable development of the economy. [ABSTRACT FROM AUTHOR]

The worldwide increasing concern for climate change persuades policy makers to take into account also the environmental aspects when designing and assessing the effectiveness of economic policies. Fiscal reforms can be combined with environmental measures to achieve the complex target represented by economic growth and environmental protection. In this vein, this study proposes the reorganisation of federal taxation on corporate and personal income in USA, financed by the introduction of a carbon tax on economic activities. The study uses a dynamic CGE model calibrated on a US Social Accounting Matrix (SAM) with environmental accounts. The economic, socioeconomic and environmental impact assessed in this study gives two major policy recommendations: firstly, the reduction in personal income tax that is more geared to economic growth compared to the reduction in corporate income tax, and secondly, not to be detrimental for growth, the carbon tax introduction must be part of a policy framework. Indeed, if the personal income tax reduction is financed with the introduction of a carbon tax on economic activities, there is no harm to the economic growth and a benefit for the environment arises. [ABSTRACT FROM AUTHOR]

Previous research indicates that it is feasible to incorporate carbon considerations into production and inventory management by making informed decisions based on total costs and other relevant factors. In this article, the inventory model of single-vendor single-buyer with fixed demand is considered and carbon emission costs are added to the model according to the two policies of carbon tax and emission trading, and the model is also discussed through environmental concerns. The objective of this study is to establish an equilibrium between the costs associated with single-vendor single-buyer (SV-SB) and carbon emissions, utilizing carbon tax and carbon trading policies to regulate the quantity of carbon generated. The results show using the carbon trading policy is more economical although it is much more complicated in implementation than carbon tax policy. [ABSTRACT FROM AUTHOR]

While countries increasingly commit to pricing greenhouse gases directly through carbon taxes or emissions trading systems, indirect forms of carbon pricing—such as fuel excise taxes and fuel subsidy reforms—remain important factors affecting the mitigation incentives in an economy. Taken together, how can policy makers think about the overall price signal for carbon emissions and the incentive it creates? We develop a methodology for calculating a total carbon price applied to carbon emissions in a sector, a fuel, or the whole economy. We recognize that rarely is a single carbon price applied across an economy; many direct carbon pricing instruments target specific sectors or even fuels, much like indirect taxes on fossil fuels; and carbon and fuel taxes can be substituted for one another. Tracking progress on carbon pricing thus requires following both kinds of price interventions, their coverage, and specific exemptions. This inclusive total carbon pricing measure can facilitate progress in discussions on minimum carbon price commitments and inform assessments of the pricing of carbon embodied in traded goods. Calculations across 142 countries from 1991 to 2021 indicate that although direct carbon pricing now covers roughly one-quarter of global emissions, the global total carbon price is not that much higher than it was in 1994 when the United Nations Framework Convention on Climate Change entered into force. Indirect carbon pricing still comprises the lion's share of the global total carbon price, and it has stagnated. Taking these policy measures into account reveals that many developing countries—particularly net fuel importers—contribute substantially to global carbon pricing. Tackling fuel subsidy reform and pricing coal and natural gas emissions more fully would have a profound effect on aligning carbon prices across countries and sectors and with their climate costs. [ABSTRACT FROM AUTHOR]

With the continuous growth of low-carbon economy and people's increasing preference for low-carbon products, the building carbon emission reduction (CER) has been highly concerned by the government. Therefore, in this study, we establish a game model through differential game to analyze the impact of government policies on building's CER. We get: (1) Compared with the carbon tax policy, the government policy combining carbon tax and cost subsidy is more conducive to reducing carbon emissions; (2) For the three government policies, when the cost subsidy rate is lower than a fixed value, the government policy combining carbon tax and cost subsidy is the optimal strategy for building's CER. When the cost subsidy rate is greater than a fixed value, the cost subsidy policy is the best strategy for building's CER. [ABSTRACT FROM AUTHOR]

In this work, we propose a new model to evaluate the impact of potential governmental policy as a green transition to decarbonise road freight transport. Contrary to the classical literature on the topic, our approach employs a bilevel structure optimization scheme. More precisely, a single-leader-multi-follower (SLMF) model is developed, where the state represents the leader and the freight companies act as the followers. A carbon tax is the selected public policy to foster the shift to less polluting freight technologies. The model responds to an exogenously determined demand that must be satisfied by a fleet that remains constant in size through time. The aim is thus to determine to what extent the tax policy will generate an evolution of the fleets of the different companies towards greener vehicles. An additional scientific contribution of the paper is that the SLMF model is solved thanks to a new numerical approach based on the so-called SOS1 technique. The implementation is applied in the case of the Ecuadorian freight transport and the results highlight an interesting evolution of the fleets. [ABSTRACT FROM AUTHOR]

Due to climate change risks, the public, regulators, and investors require solid actions to minimize the greenhouse gas (GHG) emissions of mineral extraction and metals production. The mining sector considers alternatives to reduce its carbon footprint by transforming the business and adopting new technologies into operations. Given the capital intensity, technical characteristics, and business structure involved, a shift in the mining industry necessitates impartial insights into the trade-offs and risks. Considering the low-carbon transition trade-offs and risks in mining, this study presents the application of system dynamics modeling (SDM) in mining projects to analyze the impact of decarbonization alternatives with respect to carbon footprint and costs. A system dynamics model of an open-pit copper mine is developed to quantify greenhouse gas (GHG) emissions, as well as capital and operational costs, during the project life cycle. The change in GHG emissions in the business-as-usual scenario with diesel equipment haulage versus the alternative scenario with electric overland conveyor haulage is compared concerning GHG emissions and associated costs. The results unequivocally demonstrated that electrifying material mobility offers significant decarbonization in open-pit mining if the on-site electricity has a low emission factor. The findings also indicate that the substantial cost difference between electrification and diesel alternatives is another major obstacle to implementing electrification in an open-pit copper mine. This research proves that implementing SDM in the mining industry can offer impartial insights into decision-making and enable a thorough evaluation of options using quantitative criteria. It effectively assesses and communicates the trade-offs and risks of transitioning to low-carbon alternatives because it analyzes project variables quantitatively and holistically and is easy to run. [ABSTRACT FROM AUTHOR]

Excessive emission of greenhouse gases leads to the increasing greenhouse effect, adversely affecting the global climate. Carbon dioxide is the dominant part of greenhouse gases; reducing its emission is the most important way to solve the climate problem. Aiming at the characteristics of the dangerous goods transportation market and the development of the carbon tax policy, the carbon tax cost and the cost of dangerous goods transportation are introduced, and the characteristics of the dangerous goods transportation and the road traffic network and the road traffic in each period are fully analyzed. The optimization model of the path of the hazardous goods vehicles is established with the optimization objective of the lowest total cost. Then, by analyzing the advantages and disadvantages of bacterial foraging algorithm (BFA) and ant colony algorithm (ACO), the hybrid BFA-ACO algorithm is established by combining the two, and the replication and convergence operations of bacterial foraging algorithm are introduced into the ACO algorithm to improve the convergence speed and global convergence ability of the algorithm. The hybrid algorithm is then used to optimize and solve the path optimization model of hazardous materials vehicles and compared with the classical algorithms Genetic Algorithm (GA) and ACO for solving the path of dangerous materials vehicles. A comparison of the optimization results reveals that optimizing the model by bacterial foraging-ACO algorithm is better than optimizing the model by a single algorithm. [ABSTRACT FROM AUTHOR]

A sustainable manufacturing–remanufacturing inventory model with two production phases is presented in this study. In this two phases model, the first phase is used for manufacturing whereas the second phase is used for both manufacturing and remanufacturing. Keeping in mind about environment and price of products, it is presumed that market demand rate is influenced by the greenness of item and unit selling price simultaneously. Remanufacturing is performed for non-serviceable items i.e., defective items which are produced from imperfect production and used items that are purchased from the market. But the products for which remanufacturing cost is more than manufacturing cost are scraped off. In the production process carbon releases from setting up, manufacture and holding of the perfect items. To mitigate the carbon emission carbon tax regulation is imposed. Next, concavity of the profit function is driven through the pseudo concavity. Profit is maximized by minimizing the economic, environmental, and social effect. The models are illustrated by a numerical example and a sensitivity analysis is also elaborated for fixed parameters. Special cases are provided to compare the result with previous literature. The results shows that manufacturer wishes to engage in remanufacturing as remanufacturing cost continuously increases with respect time. Another important finding is that the manufacturer can choose remanufacturing as the cost is lower than manufacturing for saving environment. Finally, mathematical findings are listed and managerial implications are recorded. [ABSTRACT FROM AUTHOR]

Discourse concerning themost effective way for enterprises to offset environmental impacts is well established. While certain approaches like the Triple Bottom Line (TBL) have gained widespread acceptance, other initiatives like introducing the Carbon Tax in Australia have not been successful. This study examines the practical implementation of two environmental accounting models, the TBL and Carbon Tax, analysing their benefits and drawbacks and focusing on their application within the Australian accounting system. Using discourse and content analysis within two case studies of two different sectors -- the banking sector (Westpac) and themanufacturing sector (BlueScope), this research contributes to the discourse concerning the implementation of such disclosures and how models such as theTBLand CarbonTax initiative could be effectively used in practice. The results show that the implementation of theTBLwas more widely adopted and seen as a positive factor in determining the company's environmental impact as viewed by investors. The Carbon Tax was initially adopted less frequently until modifications were made to allow for voluntary compliance. This was due to the misalignment of the cost of the tax with the financial priorities of each sector. Furthermore, the study suggests that a more comprehensive approach that leverages the strengths of both models to complement each other within an integrated framework may be the best solution for organisations seeking a more systemic approach to environmental disclosures and offsetting in their supply chain network. [ABSTRACT FROM AUTHOR]

This study takes a supply chain network composed of manufacturers, retailers and demand markets as the research object and analyses the impact of the government's carbon trading price (CTP), carbon tax (CT) and low-carbon product subsidy (LPS) policies on the supply chain network equilibrium. We determine the equilibrium state of members by using variational inequality and then construct a network equilibrium model that considers these three policies. A modified projection algorithm is used to verify and solve the model. The results show that a higher CTP helps to reduce carbon emissions but reduces the transaction quantity of products. Further, when the CTP increases, the system's profits increase only under the LPS policy. However, regardless of the CTP level implemented, if the CT rate is higher than the subsidy level, carbon emissions are lower. Notably, under the same levels of LPS and CT, LPS has a greater effect on the system. [ABSTRACT FROM AUTHOR]

In Canada, the task of explaining food prices falls to a handful of grey literature reports that shape media coverage and public understanding and carry significant political and policy influence. We performed an in-depth analysis of fifty-one of these influential reports, including thirty-nine reports by Statistics Canada (including Consumer Price Index reports and other studies) and twelve reports from the Canada Food Price Report (CFPR) series. Our goal was twofold: 1) to identify and classify the various explanations given for food price changes, and 2) to evaluate the scientific rigor of these explanations. We identified 232 total explanations for food price changes, spread across seven thematic categories and thirty-two sub-categories. We find that most claims made in these reports are scientifically incomplete (only 28.6% of all claims meet established criteria for the completeness of scientific arguments). We also identify a lack of comprehensiveness in the areas of emphasis and the claims being presented and drivers being explored, particularly with respect to issues presently at the centre of food price discourse in Canada, such as the agency of grocers and other supply chain actors, corporate growth imperatives, and climate change. Considering the importance of food prices and food security to prosperity and well-being in Canada, we conclude with a series of recommendations for strengthening the scientific rigor of these reports, including greater inclusion of supporting evidence, opportunities for peer review, and increased transparency regarding conflicts of interest and funding sources.

Abstract With the continuous growth of low-carbon economy and people’s increasing preference for low-carbon products, the building carbon emission reduction (CER) has been highly concerned by the government. Therefore, in this study, we establish a game model through differential game to analyze the impact of government policies on building’s CER. We get: (1) Compared with the carbon tax policy, the government policy combining carbon tax and cost subsidy is more conducive to reducing carbon emissions; (2) For the three government policies, when the cost subsidy rate is lower than a fixed value, the government policy combining carbon tax and cost subsidy is the optimal strategy for building’s CER. When the cost subsidy rate is greater than a fixed value, the cost subsidy policy is the best strategy for building’s CER.

Abstract Background To curb human-made carbon-dioxide emissions, the European Union will introduce carbon pricing for buildings and transport in 2027. Central and East European (CEE) countries are pressured to embark on ambitious decarbonization pathways leading to carbon-neutral economies by 2050. This paper is the first to investigate the public acceptance of and the willingness to pay (WTP) for a carbon tax in a CEE country, Hungary. It analyzes the support-increasing effects of five revenue-recycling mechanisms (tax cuts, green spending, support for poor households, funding for health care and education, and debt reduction), a wider range than covered in previous studies. A national face-to-face survey of 3013 adults on public attitudes to climate change, conducted in summer 2022, is the main method of data collection. This is combined with secondary analysis of related statistics and documentary analysis of relevant materials. Results The results show low public acceptance, with only a modest increase from 20.3% to 27.3% due to revenue recycling. This is accompanied by low WTP values and WTP increases. All these are lower than those found in Western surveys. A novel empirical result is the relative popularity of public health care and education in revenue recycling, though differences in revenue-recycling preferences are apparent between those who accept a carbon tax even without a redistribution mechanism and those who are willing to pay only if redistribution is included. Green spending also performed relatively well, while supporting the poor fared less well, albeit with relatively high WTP values. Reducing taxes and public debt were the least likely to instigate carbon-tax acceptance. Conclusions The results highlight the importance of carefully assessing the distributional impact of implementing carbon pricing mechanisms and thoroughly integrating social considerations into climate policy. Based on this, as well as the analysis of the social conditions and political economy of climate policy development in Hungary, policies—such as a gradually increasing carbon tax, social cushioning, legal earmarking of carbon-tax revenues, and policy bundling—are proposed to make carbon pricing socially tolerable and politically acceptable. The findings and conclusions might also be relevant for other parts of the CEE region.

Environmental taxes ensure sustainable development, but their fiscal and environmental effectiveness differs for countries with different socio-economic characteristics. This study aims to compare the impact of environmental tax revenues on economy’s decarbonization (measured through carbon productivity – the ratio of GDP to carbon dioxide emissions) in different countries, considering their green technologies development and carbon emissions. The paper analyzed OECD and World Bank statistical data for 38 OECD countries for 2002–2021 using linear panel regression models with fixed and random effects (using Hausman test and STATA 18). To identify explicit and latent patterns of this influence, which are common to certain countries, this analysis did not consider each country separately but targeted clusters, distinguished by Ward and Sturges methods based on the effective tax rate on carbon emissions, total environmental tax revenues, total carbon emissions, and carbon productivity. The positive influence of environmental tax revenues on the economy’s decarbonization level has been confirmed for 29 countries (four from six clusters). The effect is the largest for the USA (an increase in tax revenues by 1% leads to an increase in carbon productivity by 0.9% on average) and the smallest – for the cluster including Austria, Belgium, Canada, Costa Rica, Czechia, Estonia, France, Germany, Hungary, Iceland, Korea, Lithuania, New Zealand, Poland, Portugal, Slovakia, Spain, and the Great Britain (increase – 0.1%). The negative impact was confirmed for nine countries (two from six clusters): Denmark, Finland, Israel, Latvia, and Sweden (decrease – 0.3%) and Greece, Italy, the Netherlands, and Slovenia (decrease – 0.21%).

Related Articles Many countries are implementing carbon taxation to limit emissions, and this provides a new form of tax revenue. Studies have taken up the question of what forms of expenditure from carbon taxation receive public support and whether ‘revenue recycling’ can improve support for carbon taxation. However, public attitudes are ambiguous. We argue that some of the diverse findings partly reflect that previous studies have lacked the trade‐offs that come with expenditures and that we need to expand focus beyond what the average citizen wants. Therefore, we use an approach where members of the Danish public are asked how they would like to divide the total sum of carbon tax revenues between eight specific areas. We employ hierarchical cluster analysis, which shows a diverse field of groups. This reveals that, while generally popular, expenditures toward climate mitigation and adaptation need to be complemented by social spending to achieve broader support.Ike, Vivian. 2020. “The Impact of Veto Players on Incremental and Drastic Policy Making: Australia's Carbon Tax Policy and Its Repeal.” Politics & Policy 48(2): 232–64. https://doi.org/10.1111/polp.12346.Lachapelle, Erick, Thomas Bergeron, Richard Nadeau, Jean‐François Daoust, Ruth Dassonneville, and Éric Bélanger. 2021. “Citizens' Willingness to Support New Taxes for COVID‐19 Measures and the Role of Trust.” Politics & Policy 49(3): 534–65. https://doi.org/10.1111/polp.12404.Tuxhorn, Kim‐Lee, John D'Attoma, and Sven Steinmo. 2021. “Do Citizens Want Something for Nothing? Mass Attitudes and the Federal Budget.” Politics & Policy 49(3): 566–93. https://doi.org/10.1111/polp.12406. [ABSTRACT FROM AUTHOR]

Our ability to fight COVID-19 demonstrates that where there's a will, there's a way. Yet proactive action will not be the single driving force behind us winning a stable and benign environment for our children. This article focuses on the not so obvious yet impactful trends affecting our ability to stave off the worst of climate change. These trends include carbon taxation, climate litigation, AI, space exploration, Direct Air Capture and an ever younger, more motivated demographic. Some trends will affect our efforts in unknown and unpredictable ways, while others will drive them with ever more force over the years to come. Carbon taxation requires a proactive change in government policy, but that change will place implementation in the hands of the free market. As we face an existential crisis never before seen by humanity, perhaps the largest driving force affecting our ability to ensure a healthy planet will be a more engaged public. [ABSTRACT FROM AUTHOR]

This paper analyzes the causal relationship between the carbon tax's revenue recycling measures and political acceptability. The Irish carbon tax reform of 2019 forms the basis of the study. The findings are based on deductive content analysis and semi‐structured, elite interviews with key politicians, climate policy advisors, and other influential figures involved in the policy‐making process. Analyzing the extensive Irish revenue recycling scheme, encompassing compensatory measures and various forms of climate spending, provides researchers with the chance to track distinctive causal mechanisms over the course of a politically intense period, leading up to general elections. The results show that relief measures were crucial to alleviate concerns about the negative distributional impact of the policy, which was fiercely attacked by some opposition parties. Additionally, climate spending increased political acceptance by offering low‐carbon alternatives to consumers, even though the policy was initially construed as punitive measure, especially in regions and sectors where switching to low‐carbon options, public transport, or less carbon intense heating, were challenging or even impossible. A unique finding of the study is that revenue recycling facilitates the emergence of cross‐party agreement among ideologically distant parties. Another crucial contribution of this study is the detailed comparison, from the perspective of political acceptability, of two alternative social compensation models, the fee and dividend model, and the integration of targeted social cushioning and climate spending (hypothecation). [ABSTRACT FROM AUTHOR]

Background: To curb human-made carbon-dioxide emissions, the European Union will introduce carbon pricing for buildings and transport in 2027. Central and East European (CEE) countries are pressured to embark on ambitious decarbonization pathways leading to carbon-neutral economies by 2050. This paper is the first to investigate the public acceptance of and the willingness to pay (WTP) for a carbon tax in a CEE country, Hungary. It analyzes the support-increasing effects of five revenue-recycling mechanisms (tax cuts, green spending, support for poor households, funding for health care and education, and debt reduction), a wider range than covered in previous studies. A national face-to-face survey of 3013 adults on public attitudes to climate change, conducted in summer 2022, is the main method of data collection. This is combined with secondary analysis of related statistics and documentary analysis of relevant materials. Results: The results show low public acceptance, with only a modest increase from 20.3% to 27.3% due to revenue recycling. This is accompanied by low WTP values and WTP increases. All these are lower than those found in Western surveys. A novel empirical result is the relative popularity of public health care and education in revenue recycling, though differences in revenue-recycling preferences are apparent between those who accept a carbon tax even without a redistribution mechanism and those who are willing to pay only if redistribution is included. Green spending also performed relatively well, while supporting the poor fared less well, albeit with relatively high WTP values. Reducing taxes and public debt were the least likely to instigate carbon-tax acceptance. Conclusions: The results highlight the importance of carefully assessing the distributional impact of implementing carbon pricing mechanisms and thoroughly integrating social considerations into climate policy. Based on this, as well as the analysis of the social conditions and political economy of climate policy development in Hungary, policies—such as a gradually increasing carbon tax, social cushioning, legal earmarking of carbon-tax revenues, and policy bundling—are proposed to make carbon pricing socially tolerable and politically acceptable. The findings and conclusions might also be relevant for other parts of the CEE region. [ABSTRACT FROM AUTHOR]

Given the consequences for the climate and human well-being, there is unquestionable universal fear about the ecological impact of socioeconomic activity. Therefore, this research aims to investigate the effects of carbon tax and resource efficiency on environmental sustainability while controlling economic growth and total energy supply in France between 1995 and 2020. As a result, the empirical findings would shed light on ecological sustainability in France and spark new debate. This study employs a novel Fourier autoregressive distributed lag cointegration method for cointegration and a nonlinear autoregressive distributed lag approach for long-run estimation. The empirical outcomes show that resource efficiency is negatively connected to environmental pollution. Moreover, the impact of a carbon tax on environmental pollution is negative. Lastly, energy use and economic growth positively influence environmental pollution. The study concludes that carbon taxes can help to achieve sustainable development goals and resource efficiency. [ABSTRACT FROM AUTHOR]

A carbon tax is one of the fundamental cost-effective market tools to limit global temperature and reduce greenhouse gases emissions. In this study, using the provisions of the Paris Agreement and the shadow price of carbon, the potential role of the carbon tax on carbon emission reduction in the agricultural sector of Iran is investigated. To this end, the GMM (generalized method of moments) approach and data for 28 provinces of Iran during 2001–2017 is implemented. The own price and income elasticity of diesel are calculated at −0.26 and 0.32, respectively. Results indicated that each 300 Rial ($0.0.0071) increase in diesel price led to a 44 kg/capita decrease in carbon emission. Each 10% decrease in electricity price led to a 1.5% decrease in diesel consumption and a 0.21% decrease in per capita carbon emission. To comply with Paris Agreement, the recommended carbon tax will be 0.360 Dollar/liter. According to carbon shadow price in the agriculture sector of Iran, to cover external costs from agriculture products, the carbon tax should be determined at 1.459 Dollar/liter. In the short term, such a high tax rate may affect the welfare of producers. Hence, moderating fuel prices, transferring fossil fuel subsidies to providing clean energy sources, electrification of agricultural wells, use of solar panels in the agricultural sector, modernization of agricultural machinery, and equipment that use less fuel are recommended. [ABSTRACT FROM AUTHOR]

This study explores the integration of activity-based costing (ABC) and the theory of constraints (TOC) with carbon tax policies to drive decarbonization in the Taiwanese glass industry. Employing a mathematical programming approach, four distinct models are developed to assess the impact of different carbon tax structures, carbon trading mechanisms, and recycled material utilization on corporate profitability and carbon emissions. The findings reveal that strategically applying ABC and the TOC with well-designed carbon tax policies can effectively incentivize emission reduction while maintaining industrial competitiveness. The models incorporating carbon trading and tax allowances demonstrate the potential for creating win–win situations, where companies can increase profitability by investing in cleaner technologies and processes. This study contributes to the literature on sustainable manufacturing and provides actionable insights for policymakers and industry leaders seeking to implement effective carbon pricing mechanisms that drive economic growth and environmental sustainability in tandem. [ABSTRACT FROM AUTHOR]

The shipping industry plays an important role in international trade and world economic development. In particular, the rapid growth of the shipping industry since 2020 has become an important factor in supporting and stimulating the rapid recovery of the global economy in the post epidemic era. However, under the background that climate warming has increasingly become the theme of common concern for all mankind, greenhouse gas emission reduction has increasingly attracted the attention of governments of all countries, and has also become the requirement for production and operation of all industries, the green, environmental protection and sustainable development of the shipping industry have also become the focus of participants in all sectors. As environmental problems put forward requirements of a green shipping industry, some policies aimed at reducing pollution and greenhouse gas emissions, such as carbon tax, have brought considerations to the strategies of ports and enterprises, especially concerning their competition and cooperation. This study established a shipping supply chain system composed of two ports and one shipping company in order to analyse the impact of carbon tax on the shipping supply chain, and to optimize the decision‐making of government, ports and shipping companies. Through three‐level Stackelberg game of four models including ports cooperating or not cooperating with each other, and carbon tax levied on ports or the shipping company, the study finds that the collection of carbon tax will reduce the container handling volume of ports thus reducing the profits of both ports and the shipping company, but the handling volume when the government puts carbon tax on ports is lower than that when it puts carbon tax on the shipping company, and the handling volume under the port cooperation mode is lower than that under the port non‐cooperation mode. As the collector of carbon tax, the government's income when taxing ports is higher than that when taxing shipping companies, and when ports cooperate, the government's income is lower than that when ports do not cooperate. Moreover, no matter the ports cooperate with each other or not, the impact of carbon tax on port container handling volume under the mode of carbon tax levied by the government on ports is more significant than that when carbon tax is levied on the shipping company, leaving the former mode a lower container handling volume and lower profit. The findings of this study have the following significance and suggestions for the participants of shipping supply industry: In order to maximize the government's target value, the government should give priority to taxing shipping companies rather than ports; Under the background of carbon tax, ports should choose limited non‐cooperation strategies. [ABSTRACT FROM AUTHOR]

The demand for different energy goods and services is a fundamental component in a country's economic structure for development. Understanding it is vital in designing economic policies, such as taxes, that can improve the welfare of the population. A comprehension of the distributional effects of elasticities and the application of them to simulate household responses to price changes, as well as a calculation of the welfare impacts on poor and rich households in Mexico, should inform policy design. This paper uses the Household Income and Expenditure Survey (ENIGH) from 1996 to 2018 to estimate the demand of Mexican households for fuels, specifically electricity, liquefied petroleum gas, and gasoline. A Quasi Ideal Quadratic Demand System (QUAIDS) is employed to analyse the effects of removing energy subsidies and introducing a carbon tax. The results indicate that welfare losses would be regressive concerning electricity price increases, while changes in gasoline prices would be progressive. Redistributing the tax revenues accrued by removing energy subsidies and imposing the carbon tax would have more progressive effects on the economy of Mexican households, with welfare gains of up to 350% for the poorest households in the case of electricity consumption taxes. [ABSTRACT FROM AUTHOR]

This paper looks into the crucial macroeconomic feedback mechanisms emerging from the interplay among the goods market, the labor market, the financial sector, and monetary policy, particularly in the context of transitioning towards a climate-neutral economy. The investment decisions of firms, pivotal in this interaction, can trigger feedback loops with potentially destabilizing effects, underscoring the critical role of investment within the complex interplay of market and sector dynamics in the macroeconomy. Governmental intervention is highlighted as a key factor in steering the green transition while preserving economic stability. A carbon tax on fossil fuel consumption is proposed as a primary tool for facilitating this green transition. Our investigation employs a disequilibrium model of monetary growth, a la Keynes-Metzler-Goodwin (KMG), incorporating a portfolio perspective across three asset markets - money, bonds, and stocks. This framework allows for an in-depth analysis of how a carbon tax influences real production, inflation, and inequality during the transition. Our findings indicate that imposing a carbon tax on production does not markedly disrupt economic stability, as long as the carbon pricing and its growth rate remain within low bounds. [ABSTRACT FROM AUTHOR]

Carbon tax is widely regarded as an effective and efficient method to reduce carbon emissions. However, the introduction of carbon tax has faced resistance from the public and interest groups. In this article, we examine the determinants of public support for carbon taxation in South Korea. While the expected cost of the carbon tax on individual citizens appears to be the most important determinant of preferences towards carbon tax, we also find that the public support changes depending on the design of the revenue recycling system. The public is more likely to support a carbon tax scheme that is earmarked to support the energy‐poor population compared to one that uses tax revenues for general government expenditures. The use of carbon tax revenues to create green sector jobs appears to significantly increase the support for carbon tax compared to the use of revenue for the general environment budget. Our findings suggest that while opposition towards carbon tax exists, certain design features such as universal carbon dividends can alleviate some resistance from the public. [ABSTRACT FROM AUTHOR]

A disordered energy transition might impact borrowers' ability to repay and service debt; this calls for methods for integrating climate into credit risk modelling. This integration is required not only for risk management, but also for adjusting credit ratings for collateral pledged in Eurosystem monetary policy operations. This study introduces an innovative methodology to evaluate Italian non-financial firms' exposure to climate policy risks, gauging the impact of climate policies on firm-level default probability (PD). By simulating a shock to energy expenditure originating from different levels of a carbon tax, we analyze the potential impact on firms' PD. Our method offers a comprehensive understanding of the channels through which energy shocks propagate and their implications on firms' vulnerability. Our findings show that the impact of carbon taxation on credit risk would be contained, raising the average PD by a range of 0.6–4.1 basis points according to the different levels of carbon tax. The effect is slightly larger for the Agriculture and Services sector, while there is no clear pattern relating to firm size. [ABSTRACT FROM AUTHOR]

The pressure of climate action becomes more crucial, especially to achieve the goals outlined in the Paris Agreement. In the Paris Agreement, Malaysia has committed to reducing greenhouse gas emissions across the economy by 45% in 2030. Malaysia has taken proper action to ensure the reduction of carbon emissions. Still, it only focuses on tax incentives and motivations toward a clean environment without involving tax penalties for the emitters. Policymakers worldwide are now changing to tax-based policies to lessen carbon emissions. Malaysia is also expected to implement the carbon tax soon. This study aims to determine Malaysia's crucial carbon emission sector and investigate the perception of implementing a carbon tax in Malaysia. This study uses desk research and questionnaires to collect data from the industry, the Inland Revenue Board of Malaysia, and the public. This study has successfully identified key sectors responsible for significant carbon emissions and gathered respondents' perceptions towards implementing a carbon tax. The implications of the study are also highlighted. [ABSTRACT FROM AUTHOR]

E-waste represents a rapidly expanding category of solid waste, with mobile phones being particularly noteworthy contributors to the global waste stream. The substantial consumer demand for mobile phones, coupled with their relatively short lifespan, limited repair options, and the absence of efficient recycling methods, significantly contributes to the generation of e-waste. In order to address this pressing concern, a sustainable circular inventory model that promotes green industrial practices without compromising profitability is a need in this era. This paper aims to develop an integrated sustainable circular model for a mobile industry that incentivizes the end-of-life processing of used mobile phones. The model explores the idea of the retailer's inspection to segregate defectives and the manufacturer's remanufacturing and product recovery initiatives to identify e-waste as a valuable secondary source of raw materials. The ultimate objective of this study is to determine the optimal expected average integrated total profit of the system with optimal order quantity and shortage quantity. An algorithm is designed to get the local maximum of the expected average integrated total profit using Mathematica 9.0 software. The practicability of the suggested model in the mobile industry is verified numerically and theoretically. The effect of investment in emission reduction technology and waste minimization technology with a carbon cap policy is studied, and it is found that the industry benefits from investments in green technology and waste minimization technology by generating 7.076% more profit while lowering emissions by 48.6336% and waste by 97.9758%. The study concludes that the implementation of the reuse, recycle, and rework concept of circularity for the end-of-life processing and product recovery of discarded mobile phones enhances the supply chain profit without contributing to pollution, which is the ultimate goal of a sustainable economic model. [ABSTRACT FROM AUTHOR]

With massive greenhouse gas emissions causing global warming, emissions reduction and economic growth are essential objectives that must be balanced in sustainable development worldwide. The tax policy is an effective tool for environmental protection and economic regulation. Over the years, China has continuously adjusted tax policies, and the tax structure has tended to be optimized, but there is still no carbon tax. In this regard, based on the purpose of promoting the harmonious development of the environment and economy, this article builds a dynamic computable general equilibrium (CGE) model with five scenarios to assess the economic, energy, and environmental effects of the consumption tax, the carbon tax as well as their combination in China during 2022 to 2035. The results show that lowering the consumption tax on non-energy-intensive commodities boosts long-term economic growth but is not conducive to emissions reduction. Additionally, a separate carbon tax promotes a cleaner energy transition, reducing emissions while harming the economy. In contrast to the stand-alone policy treatment, the combination of lower consumption taxes on non-energy-intensive commodities with the medium carbon tax rate could have a "double dividend" effect, with long-term economic growth and consistently reduced pollution emissions. In the future, it will be essential to implement the appropriate policy combination to reduce fossil energy consumption and increase clean energy share. Thus, it would help to achieve China's 2030 peak carbon target and promote green economic development effectively. [ABSTRACT FROM AUTHOR]

Using the panel data of Shanghai and Shenzhen A-share listed companies spanning from 2007 to 2021, we explore the impact of the synergism of carbon emission trading policy and carbon tax policy on the carbon emission level of enterprises through the difference-in-difference model, intermediary effect model, regulatory effect model. The research results show that: (1) Carbon emission trading and carbon tax both promote enterprises’ carbon emission reduction. (2) There are three paths for carbon emission trading and carbon tax policies to encourage enterprises’ carbon emission reduction actions synergistically: improving enterprises’ green technology innovation level, optimising energy structure, and accelerating industrial structure optimisation. (3) Mediated regulatory effect results show that the greater the company’s government support and R&D investment, the greater the synergism between carbon trading and carbon tax policies to drive green technology innovation and the better the carbon emission reduction effect of the company. (4) The synergism between carbon trading and carbon tax policies positively fosters public ownership companies’ carbon emissions reductions and heavily polluted industry companies. [ABSTRACT FROM AUTHOR]

The world faces urgent sustainability challenges and international agreements call for policy change. CO2 pricing is an effective way to reduce greenhouse gas emissions and allows us to find innovative ways to cover these emission sources, addressing environmental, economic, and social sustainability through the targeted use of revenues. In order to design a publicly acceptable pricing concept, this study empirically examines the public perceptions of CO2 pricing in Germany, preferred revenue recycling schemes, and socio-psychological differences following its national implementation. In a choice-based conjoint measurement, we simulated the interplay of influencing factors (revenue reinvestment, climate effects, and scale of action) in a comprehensible choice task (n = 1209). The results show that revenue reinvestment has the highest importance for the acceptance of CO2 pricing, followed by the climate effect, and confirm that the individual financial burden is a significant obstacle to achieving government climate goals. The findings help policymakers to understand the public's motives and demands for accepted carbon pricing options, and support management recommendations for policy and governance to work towards a sustainable transformation. However, to achieve global sustainability outcomes, it is imperative that such studies are conducted worldwide, as comparisons with previous studies reveal local differences in needs and preferences. [ABSTRACT FROM AUTHOR]

Recycling carbon tax revenue is a significant part of the design of a nation's carbon tax system. The impact of different recycling principles on the socio-economy and carbon emission reduction varies greatly. Under the background of China's goal of reaching peak carbon emissions, this paper designed three carbon tax recycling principles based on the goal of Nationally Determined Contributions (NDCs), including recycling principles based on output ratio, export ratio, and carbon intensity. A recursively dynamic CGE model was developed in this study to evaluate the economic effects of these three carbon tax recycling principles based on tax neutrality under China's goal of reaching peak carbon emissions. Carbon tax recycling measures could mitigate the economic losses caused by carbon tax, and the results could be greatly affected according to different recycling principles. The results showed that: 1 The recycling principle based on output ratio could reduce economic losses and improve households' social welfare. 2 China's carbon intensity in 2030 could be reduced by more than 65% compared with that in 2005, and the proportion of non-fossil energy in primary energy consumption could reach 25% using the recycling principle based on carbon intensity, but the economic loss mitigation effect of the recycling measures based on this principle was small. 3 Adopting the recycling principle based on export ratio would narrow the competitive gap between China and foreign countries, and the exports of high-carbon-intensity goods would not increase under this principle. 4 According to principles based on output ratio and export ratio, the NDC goal of non-fossil energy accounting for about 25% of primary energy consumption by 2030 could not be achieved, and only the NDC goal of reducing carbon emissions per unit of GDP by more than 65% compared with that of 2005 could be achieved. In brief, as an essential policy tool to achieve China's goal of reaching peak carbon emissions, the carbon tax should be implemented as soon as possible. At the same time, according to China's national conditions, a targeted choice of carbon tax recycling principle is needed. The role of the carbon tax in the process of achieving the goal of Nationally Determined Contributions should be fully utilized. [ABSTRACT FROM AUTHOR]

We shed new light on a long-standing question in political science: When confronted with costly policy choices, do citizens form their preferences using material (economic) concerns or other-regarding motivations, such as the distribution of costs, and how are these moderated by political ideology? Using the case of carbon taxation, a widely advocated policy solution to climate change, we conducted survey experiments in Germany and the United States to assess the relative importance of these forms of preferences. The results show that individuals are primarily concerned with how a carbon tax would affect their individual income. There are also important cross-national differences with high-income German respondents being more receptive to redistributive policy design, especially in contrast to high-income Democrats who significantly decrease support for carbon taxation. These findings highlight how the constituencies generated by new policies can significantly alter the distribution of mass support for action on emerging societal problems. [ABSTRACT FROM AUTHOR]

Due to tougher carbon restrictions and regulations, businesses have been researching approaches to decrease the amount of carbon emissions throughout the inventory supply process and achieve sustainable development. The two most common approaches are (i) decentralized, which involves implementing a carbon tax or cost for emitting carbon, and (ii) centralized, which includes introducing an emissions trading (cap-and-trade) mechanism. Within this research, we optimize a two-stage supply management system under FPH(finite planning horizon) while taking into consideration these two policies. Using a linear time and inventory-dependent demand model, we investigated various techniques within a specific time frame. We created and solved two distinct MINLP (Mixed Integer Non-Linear Programming) approaches for each carbon strategy. These models can assist businesses/firms in determining the minimum overall cost, optimal order quantity, optimal replenishment time, and replenishment cycles. Using mathematical tools, our sensitivity evaluations indicate that organizations can reduce overall projected emissions and costs by making parameter variations under both carbon regimes. We additionally showed that while both approaches optimize the overall supply chain cost, the order quantity and total emissions remain constant. [ABSTRACT FROM AUTHOR]

Background: Any perishable product's demand on the market nowadays depends not only on its level of freshness, but also on how well it is protected from extraneous environments and level of greening. The rate of deterioration determines the freshness level of products, and products are protected from environmental influence by increasing their green level. Methods: This study develops a perishable inventory control method from the perspective of a retailer, in which (i) the demand rate depends on the rate of deterioration, as well as the greening level of the products. (ii) The rate of deterioration is a controllable variable, indicating the need for a new fresh quality technology (FQT) indicator. (iii) To improve the level of greening through green operations, carbon tax policy and government subsidies for green investment are employed. Results: The objectives of the study are to determine the optimal period for replenishment, an optimal greening level, and an optimal rate of deterioration simultaneously while taking into account retailers' total cost minimization. The results of this study indicate that the retailer should make an investment in the preservation factor when the perishable product's rate of deterioration is between 0 and 1, and retailers wouldn't need to invest in quality maintenance technology if the deterioration rate is zero. Similarly, if the rate of deterioration is 1, it's not necessary to spend money on preservation. Increasing the greening levels results in an increased order quantity of products. Conclusions: A mathematical model is developed and validated using numerical results to reflect actual situations. To examine the reliability of the model, sensitivity analysis with regard to parameters is undertaken. Some key managerial insights are presented, and the article concludes with a discussion of the future scope of related research. [ABSTRACT FROM AUTHOR]

A uniform carbon tax with equal per capita dividends is usually advocated as a cost-effective way of reducing greenhouse gas (GHG) emissions without increasing, and in many cases even reducing, economic inequality, in particular because of the positive balance between the carbon taxes paid by the worse off and the carbon dividends they receive back. In this article, I argue that a uniform carbon tax reform is unjust regardless of how the revenue is used, because it does not discourage the rich from indulging in wasteful emissions. This is at odds with a normative account of the distribution of the GHG budget that I define as emissions limitarianism, which is a climate derivative of economic limitarianism. Emissions limitarianism holds that, under low GHG budget conditions, emissions permits should not be used to achieve functionings that over-consume the GHG budget without producing significant welfare gains relative to the achievement of alternative functionings. Accordingly, I argue that a uniform carbon tax should be complemented by a limitarian carbon tax, which restricts the capabilities of the rich to achieve wasteful emission-generating functionings. The article adopts a methodological multi-level perspective on capabilities as a measure of welfare, distinguishing between basic, secondary and tertiary capabilities. [ABSTRACT FROM AUTHOR]

Global warming has created problems for human life, and it has been increasing for a few years. All the developing and developed countries are establishing policies to attain zero carbon status. This study extends the ongoing debate on carbon emissions. It examines the effect of natural resources and RE (Biofuel and other renewable sources) on greenhouse gas (CO2 emission and PM2.5) emissions while using data over 22 years (1999–2021) from G7 countries. In addition, this study has investigated the effect of carbon taxes, financial development, and environmental policies on carbon neutrality. The cross-sectional-ARDL, the Common correlated effect means group (CCEMG), and the Augmented mean group (AMG) cutting-edge model have been employed. Quantile regression has been employed for robustness. The study results demonstrate that biofuel and other renewable energy (RE) sources, carbon taxes, environmental policy, and eco-innovation decrease greenhouse gas emissions (CO2 emissions). Meanwhile, financial development, and natural resource dependence positively impact carbon neutrality. The robustness result also verifies the findings from CS-ARDL, AMG, and CCEMG methods. The empirical findings are used to infer policy implications for G7 economies.