Link to the University of Pittsburgh
Link to the University Library SystemContact us link
AEI Banner

BUDGET PERSPECTIVES 2020, PAPER 1. CARBON TAXES AND COMPENSATION OPTIONS. June 2019

Bercholz, Maxime and Roantree, Barra (2019) BUDGET PERSPECTIVES 2020, PAPER 1. CARBON TAXES AND COMPENSATION OPTIONS. June 2019. [Policy Paper]

[img] PDF - Published Version
Download (1181Kb)

    Abstract

    This paper examines the effects an increase in the Irish carbon tax would have on households’ incomes, and assesses potential options for compensating households. While a carbon tax rise would disproportionately affect lower-income households in isolation, we show that such households can be left financially better off on average by using the revenues raised to increase social welfare benefits and the state pension. We also show that a targeted increase in tax credits, maximum rates of welfare payments and Child Benefit can achieve the same distributional result as a lump-sum ‘cheque in the post’, but with less administrative cost and complexity.

    Export/Citation:EndNote | BibTeX | Dublin Core | ASCII (Chicago style) | HTML Citation | OpenURL
    Social Networking:
    Item Type: Policy Paper
    Subjects for non-EU documents: EU policies and themes > Policies & related activities > environmental policy (including international arena)
    Countries > Ireland
    EU policies and themes > Policies & related activities > budgets & financing
    EU policies and themes > Policies & related activities > social policy > welfare state
    Subjects for EU documents: UNSPECIFIED
    EU Series and Periodicals: UNSPECIFIED
    EU Annual Reports: UNSPECIFIED
    Series: Series > Economic and Social Research Institute (ESRI), Dublin > ESRI Budget Perspectives
    Depositing User: Phil Wilkin
    Official EU Document: No
    Language: English
    Date Deposited: 12 Dec 2019 09:25
    Number of Pages: 35
    Last Modified: 12 Dec 2019 09:25
    URI: http://aei.pitt.edu/id/eprint/101733

    Actions (login required)

    View Item

    Document Downloads