The Price Of Carbon Taxation
View on Evolving Science website"Two recently-released papers by the Nicholas Institute at the Duke University and Resources for the Future (RFF) directly address some key concerns with regard to carbon taxes. Some of them are:
Carbon tax lacks an explicit connection to a desired pollution reduction target
Fundamental factors like energy or economic market dynamics can change over time, affecting the performance of a tax
EIMs, if carefully designed can play an important role, in connecting a carbon tax to its performance, in reducing pollution. They are a type of built-in insurance mechanism."
