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Environmental Tax And Return Urban–Rural Migration

Author

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  • SHENG-HUEI KO

    (Department of International Trade, Chinese Culture University, No. 55, Hwa-Kang Road, Yang-Ming-Shan, Taipei City 11114, Taiwan)

  • KUO-HSING KUO

    (Department of International Trade, Chinese Culture University, No. 55, Hwa-Kang Road, Yang-Ming-Shan, Taipei City 11114, Taiwan)

  • CHENG-TE LEE

    (Department of International Trade, Chinese Culture University, No. 55, Hwa-Kang Road, Yang-Ming-Shan, Taipei City 11114, Taiwan)

  • CHEN FANG

    (Department of Business, National Open University, No. 172, Zhongzheng Rd., Luzhou Dist., Xinbei City 247, Taiwan)

Abstract

This paper will set up a dynamic adjustment system of a specific-factor model of a closed Harris and Todaros’ (1970) economy to explore the effects of environmental tax on return migration meaning that labor moves back from the manufacturing sector to the agricultural sector. We find that when the government raises environmental tax, return migration would happen and the urban unemployment would decrease.

Suggested Citation

  • Sheng-Huei Ko & Kuo-Hsing Kuo & Cheng-Te Lee & Chen Fang, 2017. "Environmental Tax And Return Urban–Rural Migration," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 62(02), pages 447-458, June.
  • Handle: RePEc:wsi:serxxx:v:62:y:2017:i:02:n:s0217590815500642
    DOI: 10.1142/S0217590815500642
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    References listed on IDEAS

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    Cited by:

    1. Kuo†Hsing Kuo & Cheng†Te Lee & Shang†Fen Wu, 2018. "Environmental Policy And Labour Market Imperfection," Bulletin of Economic Research, Wiley Blackwell, vol. 70(2), pages 175-184, April.

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