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Emission taxes and tradable permits: a comparison of views on long run efficiency

Pezzey, John C.V


We compare three different views on the long run efficiencies of emission taxes which include thresholds, and of tradable emission permits where some permits are initially free. The differences are caused by different assumptions about whether thresholds and free permitsshould be subsidies given only to firms that produce, or full property rights. Treating tax thresholds, as well as free permits, as property rightswould depart from the conventional view, but would allow greater flexibility...[Show more]

CollectionsANU Research Publications
Type: Working/Technical Paper
Source: Environmental and Resource Economics
DOI: 10.1023/A:1026393028473


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