Conference Agenda
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Daily Overview |
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Egg-Timer: Political Economy of Climate Policy Location: D-112 Session Chair: Selina Schön, ETH Zurich | |
| Presentation 1 | |
Ready for a progressive carbon tax? Footprint definition, support, and ethical motives 1: Potsdam Institute for Climate Impact Research (PIK); 2: TU Berlin This paper shows for the first time the support for progressive carbon taxes and individual caps. It demonstrates how this support is linked with an aversion to intratemporal carbon footprint inequality and is thus likely to increase. To that end, it uses a survey representative of the French population. A near majority supports progressive carbon taxes with uniform revenue redistribution. This support is much higher than for linear carbon taxes with a progressive revenue redistribution. This is true for all carbon tax bases that could be immediately implementable, — on gas, flights, and fuels. A near majority also favors individual flight caps. Given sufficient progress in carbon accounting, respondents wish to include emissions associated with wealth, financial, and to a lesser extent, labor income in the definition of an individual carbon tax base. Using this footprint definition, we show that a near majority also supports a progressive carbon tax on top of a more progressive income tax, as well as individual carbon caps. A tax reform model reveals how support for progressive carbon taxes and individual caps is influenced by ecologearian social welfare preferences. These preferences, –introduced in this paper–, express aversion to intra-temporal footprint inequality. Our survey shows that respondents are ecologearian, not utilitarian. Consistent with ecologearian preferences, information on footprint inequality increases support for progressive carbon taxes. Since this information comes from recently available statistics and media campaigns, this suggests a growing support for progressive carbon taxes in the future | |

