Effect of two carbon tax policy scenarios on Australia's economy: A dynamic recursive approach

  • Mona Mashhadi Rajabi (Speaker)

Activity: Talk or presentationPresentation

Description

This study employs the dynamic recursive Computable General Equilibrium (CGE) approach to model Australia’s economy. This carbon tax policy is designed based on Australia’s economy, starting at A$23/tCO2, increasing over time and imposing uniformly on all industries. This study proposes two carbon tax policies and three revenue recycling approaches, and the prices and GDP variations are estimated during 2020 and 2035. This study confirms introducing a carbon tax policy decreases Australia’s carbon emissions and reduces real consumption and GDP if it is not accompanied by a revenue recycling policy.
Period12 Apr 202314 Apr 2023
Event titleFinancial Market and Corporate Governance Conference: FMCG2023
Event typeConference