Can transition economies implement a carbon tax and hope for a double dividend? The case of Estonia

Reference:

Markandya, A. and Kiula, O., 2009. Can transition economies implement a carbon tax and hope for a double dividend? The case of Estonia. Applied Economics Letters, 16 (7), pp. 705-709.

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Official URL:

http://dx.doi.org/10.1080/13504850701221816

Abstract

This article presents a simulation of the impact of the carbon tax reform on the Estonian economy using a computable general equilibrium model. Nine different scenarios have been considered. The long-term results of the proposed tax reform should not hamper the country's economic development, provided that the appropriate tax option is used. The reform has to be implemented as a package of changes in the entire tax system.

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