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AGE assessment of interactions between climate change policy instruments and pre-existing taxes: the case of Ireland

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  • Wiepke Wissema
  • Rob Dellink

Abstract

We introduce a computable general equilibrium model for Ireland to investigate the impact of climate policy on the Irish economy, taking special notice of interactions with the existing tax structure. To this end, we extend the model with a detailed representation of the tax system using separate tax data on all transactions, both intermediate and final demand. We simulate the implementation of auctioned CO2 emissions trading and specific CO2 taxation in Ireland and compare different methods to recycle the revenues. The extended tax specification facilitates a thorough second-best analysis.

Suggested Citation

  • Wiepke Wissema & Rob Dellink, 2010. "AGE assessment of interactions between climate change policy instruments and pre-existing taxes: the case of Ireland," International Journal of Global Environmental Issues, Inderscience Enterprises Ltd, vol. 10(1/2), pages 46-62.
  • Handle: RePEc:ids:ijgenv:v:10:y:2010:i:1/2:p:46-62
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    References listed on IDEAS

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    Cited by:

    1. Jan Imhof, 2012. "Fuel Exemptions, Revenue Recycling, Equity and Efficiency: Evaluating Post-Kyoto Policies for Switzerland," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 148(II), pages 197-227, June.
    2. Alberto Gago & Xavier Labandeira & Xiral López Otero, 2014. "A Panorama on Energy Taxes and Green Tax Reforms," Hacienda Pública Española, IEF, vol. 208(1), pages 145-190, March.

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