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The Double Dividend Hypothesis of Environmental Taxes: A Survey

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Ronnie Schoeb ()

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Abstract

This survey reviews the recent literature on the double-dividend hypothesis of environmental taxes and discusses some recent extensions of the standard model such as the distributional consequences and the importance of the non-separability assumption between consumption goods and environmental quality for the optimal design of environmental policies. Furthermore, the paper analyses alternative concepts of a double dividend by looking at the employment dividend in countries that suffer from involuntary unemployment, and rent-extracting dividends that resource-consuming countries can reap at the cost of resource-owning countries.

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Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number CESifo Working Paper No. 946.

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Date of creation: 2003
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Handle: RePEc:ces:ceswps:_946

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Find related papers by JEL classification:
H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy

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  1. Jean-Christophe Caffet, 2005. "Health effects and optimal environmental taxes in welfare state countries," Cahiers de la Maison des Sciences Economiques v05049, Université Panthéon-Sorbonne (Paris 1). [Downloadable!]
  2. Parry, Ian, 2003. "Fiscal Interactions and the Case for Carbon Taxes over Grandfathered Carbon Permits," Discussion Papers dp-03-46, Resources For the Future. [Downloadable!]
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  3. Manel Antelo, 2005. "Double informational asymmetry, signaling, and environmental taxes," Economic Working Papers at Centro de Estudios Andaluces E2005/25, Centro de Estudios Andaluces. [Downloadable!]
  4. Katri Kosonen & Gaëtan J.A. Nicodème, 2009. "The Role of Fiscal Instruments in Environmental Policy," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
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This page was last updated on 2009-12-14.

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