IDEAS home Printed from
   My bibliography  Save this article

Simulating the Distributional Effects of a Canadian Carbon Tax


  • Kirk Hamilton
  • Grant Cameron


It is estimated that a tax of roughly $102 per ton of carbon is the level necessary to meet the Rio target for carbon emissions. Cost-push simulations show consumers expenditure to be the category of demand most affected by the tax (prices increase by 2.0-2.4 percent), and commercial transportation the most affected production sector (2.2-2.6 percent). Micro-simulations calculate the average incidence of the tax to range from $552 to $657 per family per year, with moderately regressive results: decreases in consumable income for the lowest income quintile are from 1.1 to 1.2 percent higher than for the highest. Low income married couples are the family type most heavily affected by the tax.

Suggested Citation

  • Kirk Hamilton & Grant Cameron, 1994. "Simulating the Distributional Effects of a Canadian Carbon Tax," Canadian Public Policy, University of Toronto Press, vol. 20(4), pages 385-399, December.
  • Handle: RePEc:cpp:issued:v:20:y:1994:i:4:p:385-399

    Download full text from publisher

    File URL:
    Download Restriction: only available to JSTOR subscribers

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cpp:issued:v:20:y:1994:i:4:p:385-399. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Iver Chong (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.