Environmental tax policy is one of the most important government measures for carbon reduction. In this paper, we implement an agent-based simulation approach to simulate the volume of household gas consumption affected by the Japanese “Tax for Global Warming” which is a typical environmental tax policy on gas price. A self-adjustment module is designed to simulate the process of household gas ...

We develop a numerical model to simulate the impacts of overlapping energy policies on carbon emissions in the U.S. personal transportation sector. Consumers in our model demand fuel based on their underlying demand for miles and choices about car fuel economy; firms supply fuel by blending gasoline with corn, sugarcane, and cellulosic ethanol. We find that the current fuel tax, size-based fuel...

The Federal Australian Government has used the results of computer modelling by ABARE, which predict supposedly major economic costs from reducing greenhouse gas emissions, to justify its international stance arguing for the right for Australia to continue increasing emissions. Attempts to challenge this modelling have been hampered by the lack of detail given over the assumptions within the mo...

We build a simple analytical general equilibrium model to find a closed-form expression for the effect of a small increase in carbon tax on leakage – the increase in emissions elsewhere. The model has two goods produced in two sectors or regions. Many identical consumers buy both goods using income from fixed stocks of labor and capital that are mobile between sectors. The usual result is that ...

In emissions intensive industries such as iron and cement, manufacturers can invest to reduce carbon emissions. Under carbon regulations, their investment decisions will change the cost structure of production. We study the joint production and investment decisions under command-andcontrol and market-based regulations for a manufacturer. Market-based regulations include carbon tax and cap-and-t...