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Green Taxes on Aviation: The Case of Italy. The Proposal of the Green Taxation Matrix

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Author Info

  • Anil Markandya

    ()
    (University of Bath Ikerbasque Professor, Basque Centre for Climate Change)

  • Elena Claire Ricci

    ()
    (University of Study Milan Fondazione Eni Enrico Mattei)

Abstract

This work aims at analysing the impacts of an aviation tax in Italy and at proposing a general methodology to manage the complex effects of introducing environmental taxes. After a review of the literature and the analysis of the possible structures of the tax, its effects, at various levels, are calculated under a partialequilibrium model. These are then introduced in an Input-Output model to evaluate the impacts on the other sectors of the economy. Finally, different revenue-recycling options are discussed. We propose as an instrument of comparison the Green Taxation Matrix (GTM) that can act as a guide for policy-makers

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Bibliographic Info

Article provided by SIPI Spa in its journal Rivista di Politica Economica.

Volume (Year): 99 (2009)
Issue (Month): 3 (JULY-SEPTEMBER 2009)
Pages: 171-209

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Handle: RePEc:rpo:ripoec:v:99:y:2009:i:3:p:171-209

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Keywords: market-based environmental policy; carbon taxes; aviation sector; double dividend;

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