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The Effects of Differentiated Emission Taxes

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  • Takeda, Shiro
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    Abstract

    Extending the standard 2 x 2 Heckscher-Ohlin-Samuelson model to include emission as the third production factor, we consider the effects of emission taxes on outputs and the level of emission. The following results are derived. First, an increase in emission tax imposed on one industry may paradoxically increase the outputs of the industry. Second, an increase in emission tax imposed on one industry may raise the total level of emission.

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    File URL: http://hermes-ir.lib.hit-u.ac.jp/rs/bitstream/10086/17030/1/070econDP01-02.pdf
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    Bibliographic Info

    Paper provided by Graduate School of Economics, Hitotsubashi University in its series Discussion Papers with number 2001-02.

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    Length: 15 p.
    Date of creation: Jan 2001
    Date of revision:
    Handle: RePEc:hit:econdp:2001-02

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    Related research

    Keywords: Emission; the Heckscher-Ohlin-Samuelson model; differentiated emission taxes;

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