Optimal climate policy is studied in a Ramsey growth model. A developing economy weighs global warming less, hence is more likely to exhaust fossil fuel and exacerbate global warming. The optimal carbon tax is higher for a developed economy. We analyze the optimal time of transition from fossil fuel to renewables, amount of fossil fuel to leave in situ, and carbon tax. Subsidizing a backstop wi...

Low-stabilization scenarios consistent with the 2 °C target project large-scale deployment of purpose-grown lignocellulosic biomass. In case a GHG price regime integrates emissions from energy conversion and from land-use/land-use change, the strong demand for bioenergy and the pricing of terrestrial emissions are likely to coincide. We explore the global potential of purposegrown lignocellulos...

We use a standard computable general equilibrium model to explore the fiscal implications of stringent carbon dioxide emission reduction in Europe. Both the immediate targets (2030% by 2020) and the medium-term targets (80-90% by 2050) for abatement can be met with a carbon tax that is modest to sizeable. Imposing budget neutrality, a carbon tax that would allow all other taxes to fall by 5% (2...

Based on a numerical model where climate change affects productivity, the second-best optimal carbon tax is found to exceed marginal social damage by 53 percent, and " marginal private damage " (aggregate households' marginal willingness to pay) by 73 percent. Annual welfare gains from carbon taxation are estimated at $3.58 billion when marginal damage is $40 per ton; employment also increases....

This paper evaluates the relevance of market structure on the short-run effectiveness of carbon taxation by utilizing the introduction of Australia’s carbon tax in 2012, its removal in 2014, and between these dates a change in market structure in Western Australia where the dominant generator became vertically integrated with the market retailer. The market power of the dominant firm decreased ...

The dissertation focuses on the study of environmental policies and their impacts on the power systems’ planning. It consists of three parts, each of which addresses a single problem on environmental policies and generation expansion planning. In the first part of the dissertation, I compared the capand-trade policy and various carbon tax policies in a single period under the generation expansi...

Typically, cost–benefit analysis (CBA) has suggested ‘optimal’ carbon tax regimes that result in a global temperature rise of around 3 °C, or even eventually (post-2100) 4 °C, above preindustrial levels. However, risk analysis approaches indicate that these levels of temperature rise result in climate change impacts that pose a high or very high level of risk to society and ecosystems1 (Fig. 1)...

Forestry is an effective strategy for climate change mitigation. However, forestry activities not only sequester carbon but also release CO2. It is therefore important to formulate carbon subsidy and carbon taxation policies on the basis of the price of carbon. In this study, a forestry-based Computable General Equilibrium (CGE) model was built by using input-output data of China in 2014 to con...

BACKGROUND Rising greenhouse gas emissions (GHGEs) have implications for health and up to 30 % of emissions globally are thought to arise from agriculture. Synergies exist between diets low in GHGEs and health however some foods have the opposite relationship, such as sugar production being a relatively low source of GHGEs. In order to address this and to further characterise a healthy sustaina...

There is growing evidence that consumers respond more effectively to upfront price signals, such as vehicle purchase taxes and feebate policies, and to tax incentives that are more salient than others, such as company car taxes graded by CO2 emissions. This paper examines tax changes in The Netherlands, which are among the most stringent and most salient in Europe, and assesses the ex-post purc...