Pricing carbon emissions via a tax or tradable credits policy will increase the price of electricity, gasoline, and goods that rely on fossil fuels. Depending on how the resulting revenue is used, these significant price changes could disproportionately impact lower-income households.
At this RFF seminar, RFF’s Roberton Williams presented an analysis of the impact of carbon pricing policies across income groups. Chad Stone of the Center on Budget and Policy Priorities shared new research on how to design and implement policy options that protect the most vulnerable households. Aparna Mathur of the American Enterprise Institute and Adele Morris of The Brookings Institution provided comments on the two presentations, and all speakers will participate in a panel discussion on how climate policies may impact low-income households more broadly.