Munich Personal RePEc Archive

The Impact of Carbon Tax on GDP and Environment

Khaerul Azis, Mohammad and Widodo, Tri (2019): The Impact of Carbon Tax on GDP and Environment.

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Abstract

This study aims to examine the impact of imposing carbon taxes as an effort to reduce the effects of greenhouse gases. By using GTAP-E, this study found that the imposition of a vehicle carbon tax of 5 percent resulted in a reduction in the GDP rate of 0.01 percent and effectively reduced the level of carbon dioxide emissions by 0.06 percent.

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