Download pdf
The Facts, Causes and Effects of Carbon Tax
- 1 Faculty of Arts and Social Sciences, Simon Fraser University, Vancouver, V5A 1S6, Canada
* Author to whom correspondence should be addressed.
Abstract
The significance of climate change is growing, prompting individuals to actively reduce greenhouse gas pollution, promote the use of renewable energy sources, and advocate for sustainable development. Carbon taxes have become an important policy tool for attaining sustainable development. The purpose of this article is to analyze the emergence of carbon taxes. The research objective is to analyze the feasibility and the efficacy of imposing a carbon tax. The research highlighting the importance of carbon taxes in effectively eliminating greenhouse gas pollutions by analyzing countries that are already implementing them, designing income neutral carbon taxes to balance environmental benefits and economic growth, and listing options for various subsidies after taxes. The study is significant because it provides a thorough assessment of the effects of carbon taxes and suggests feasible policy suggestions. The government should consider the economic situation and people's income when designing the level of carbon tax and use more tax revenue to invest in new energy to achieve long-term low carbon. Wind and solar energy will be the main energy sources in the future. Under appropriate policies, carbon tax can achieve low-carbon and maintain GDP.
Keywords
Carbon tax, Global warming, Sustainable development, Policies.
[1]. National Centers for Environmental Information. (2023). Annual 2023 Global Climate Report. Www.ncei.noaa.gov. https://www.ncei.noaa.gov/access/monitoring/monthly-report/global/202313.
[2]. Ocean and Climate Platform. (2015, March 16). The decline of marine biodiversity. Ocean & Climate Platform. https://ocean-climate.org/en/awareness/the-decline-of-marine-biodiversity/.
[3]. Manisalidis, I., Stavropoulou, E., Stavropoulos, A., & Bezirtzoglou, E. (2020). Environmental and health impacts of air pollution: A review. Frontiers in Public Health, 8(14), 1–13. NCBI.
[4]. Babuji, P., Thirumalaisamy, S., Duraisamy, K., & Periyasamy, G. (2023). Human Health Risks Due to Exposure to Water Pollution: A Review. Water, 15(14), 2532. https://doi.org/10.3390/w15142532
[5]. Wu, J., Nie, X., & Wang, H. (2024). Does industrial sustainable development policy act as a booster for urban economic growth? Evidence from China’s eco‐industrial parks. Sustainable Development, 1-16(0968-0802). https://doi.org/10.1002/sd.3039.
[6]. Gustav Martinsson, László Sajtos, Per Strömberg, & Thomann, C. (2024). The Effect of Carbon Pricing on Firm Emissions: Evidence from the Swedish CO2 Tax. Review of Financial Studies, 37(0893-9454).
[7]. Rivera, A., Movelia, S., Pitt, H., & Larsen, K. (2021, December 23). Preliminary 2020 Global Greenhouse Gas Emissions Estimates. Rhodium Group. https://rhg.com/research/preliminary-2020-global-greenhouse-gas-emissions-estimates/.
[8]. Upadhyay, P., Prajapati, S. K., & Kumar, A. (2023). Impacts of riverine pollution on greenhouse gas emissions: A comprehensive review. Ecological Indicators, 154(1470-160X), 110649.
[9]. YUE, X.-L., & GAO, Q.-X. (2018). Contributions of natural systems and human activity to greenhouse gas emissions. Advances in Climate Change Research, 9(4), 243–252.
[10]. Finkelstein Shapiro, A., & Metcalf, G. E. (2023). The macroeconomic effects of a carbon tax to meet the U.S. Paris agreement target: The role of firm creation and technology adoption. Journal of Public Economics, 218(0047-2727), 104800.
[11]. Pourasl, H. H., Reza Vatankhah Barenji, & Khojastehnezhad, V. M. (2023). Solar energy status in the world: A comprehensive review. Energy Reports, 10(2352-4847), 3474–3493. https://doi.org/10.1016/j.egyr.2023.10.022
[12]. Teng, X., Chang, T., Liu, F., & Chiu, Y. (2024). Policy choices for China to reduce carbon emissions in coping with extreme weather: Applying a dynamic two-stage undesirable non-radial directional distance function. The Science of the Total Environment, 939(0048-9697), 173590–173590.
[13]. Hesam Kamyab, Morteza SaberiKamarposhti, Hashim, H., & Yusuf, M. (2023). Carbon dynamics in agricultural greenhouse gas emissions and removals: a comprehensive review. Carbon Letters, 34, 265–289.
[14]. Andersen, N. F., Cavan, E. L., Cheung, W. W. L., Martin, A. H., Saba, G. K., & Sumaila, U. R. (2024). Good fisheries management is good carbon management. Npj Ocean Sustainability, 3(1), 1–6.
[15]. Nima Shafaghatian, Seyed Hadi Hosseini, & Reza Noroozian. (2024). An Investigation of Optimized Carbon Tax-subsidy Mechanism to Enhance Power System Sustainability Considering Wind Power Penetration. IEEE Access, 12(1), 1–1.
Cite this article
Zheng,X. (2024). The Facts, Causes and Effects of Carbon Tax. Advances in Economics, Management and Political Sciences,115,9-14.
Data availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
Disclaimer/Publisher's Note
The statements, opinions and data contained in all publications are solely those of the individual author(s) and contributor(s) and not of EWA Publishing and/or the editor(s). EWA Publishing and/or the editor(s) disclaim responsibility for any injury to people or property resulting from any ideas, methods, instructions or products referred to in the content.
About volume
Volume title: Proceedings of ICEMGD 2024 Workshop: Innovative Strategies in Microeconomic Business Management
© 2024 by the author(s). Licensee EWA Publishing, Oxford, UK. This article is an open access article distributed under the terms and
conditions of the Creative Commons Attribution (CC BY) license. Authors who
publish this series agree to the following terms:
1. Authors retain copyright and grant the series right of first publication with the work simultaneously licensed under a Creative Commons
Attribution License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this
series.
2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the series's published
version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial
publication in this series.
3. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and
during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See
Open access policy for details).