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Carbon Taxation, Prices and Welfare in New Zealand

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  • John Creedy
  • Catherine Sleeman

Abstract

This paper examines the effects on consumer prices arising from imposing a carbon tax in New Zealand, using information about inter-industry transactions and the use of fossil fuels by industries. The welfare effects of the carbon tax are examined for a range of different household types. Finally, overall measures of inequality are reported.

Suggested Citation

  • John Creedy & Catherine Sleeman, 2005. "Carbon Taxation, Prices and Welfare in New Zealand," Department of Economics - Working Papers Series 937, The University of Melbourne.
    • Handle: RePEc:mlb:wpaper:937
    Note: This paper has now been published in: Creedy, J. and Sleeman, C. (2006) Carbon Taxation, Prices and Welfare in New Zealand, Ecological Economics, 57, pp. 333-345.
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    File URL: https://www.economics.unimelb.edu.au/downloads/wpapers-05/937.pdf
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    References listed on IDEAS

    as
    1. Cornwell, Antonia & Creedy, John, 1997. "Measuring the Welfare Effects of Tax Changes Using the LES: An Application to a Carbon Tax," Empirical Economics, Springer, vol. 22(4), pages 589-613.
    2. Antonie Cornwell & John Creedy, 1995. "A Carbon Tax For Australia," Economic Papers, The Economic Society of Australia, vol. 14(4), pages 16-28, December.
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    7. Smith, Stephen, 1998. "Environmental and Public Finance Aspects of the Taxation of Energy," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 14(4), pages 64-83, Winter.
    8. Roberts, Kevin, 1980. "Price-Independent Welfare Prescriptions," Empirical Economics, Springer, vol. 13(3), pages 277-297, June.
    9. John Creedy & Cameron Martin, 1999. "How Large Are Australia'S Greenhouse Gas Emissions?," Economic Papers, The Economic Society of Australia, vol. 18(1), pages 53-62, March.
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    12. John Creedy, 1998. "Measuring the Welfare Effects of Price Changes: A Convenient Parametric Approach," Australian Economic Papers, Wiley Blackwell, vol. 37(2), pages 137-151, June.
    13. Creedy, John & Sleeman, Catherine, 2006. "Carbon taxation, prices and welfare in New Zealand," Ecological Economics, Elsevier, vol. 57(3), pages 333-345, May.
    14. King, Mervyn A., 1983. "Welfare analysis of tax reforms using household data," Journal of Public Economics, Elsevier, vol. 21(2), pages 183-214, July.
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    More about this item

    Keywords

    Carbon tax; equivalent variations; excess burdens; inequality;
    All these keywords.

    JEL classification:

    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy
    • D57 - Microeconomics - - General Equilibrium and Disequilibrium - - - Input-Output Tables and Analysis

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