The effect of carbon tax on carbon emission abatement and GDP: a case study

© 2017, Springer-Verlag GmbH Germany. Carbon tax has been advocated as an effective economic instrument for the abatement of CO 2 emission by various countries, including China, the world’s biggest carbon emission country. However, carbon emission abatement cannot be done while ignoring the impact o...

Full description

Bibliographic Details
Main Authors: Liu, X., Leung, Yee-Hong, Xu, Y., Yung, L.
Format: Journal Article
Published: Springer - Verlag 2017
Online Access:http://hdl.handle.net/20.500.11937/59542
_version_ 1848760508395552768
author Liu, X.
Leung, Yee-Hong
Xu, Y.
Yung, L.
author_facet Liu, X.
Leung, Yee-Hong
Xu, Y.
Yung, L.
author_sort Liu, X.
building Curtin Institutional Repository
collection Online Access
description © 2017, Springer-Verlag GmbH Germany. Carbon tax has been advocated as an effective economic instrument for the abatement of CO 2 emission by various countries, including China, the world’s biggest carbon emission country. However, carbon emission abatement cannot be done while ignoring the impact on economic growth. A delicate balance needs to be achieved between the two to find an appropriate pathway for sustainable development. This paper applies a multi-objective optimization approach to analyze the impact of levying carbon tax on the energy-intensive sectors of Guangdong province in China under the constraint of emission reduction target. This approach allows us to evaluate carbon emission minimization while maximizing GDP. For policy analysis, we construct five scenarios for evaluation and optimal choice. The results of the analysis show that a lower initial carbon tax rate is not necessarily better, and that a carbon tax is an effective means to reduce CO 2 emissions while maintaining a certain level of GDP growth.
first_indexed 2025-11-14T10:16:53Z
format Journal Article
id curtin-20.500.11937-59542
institution Curtin University Malaysia
institution_category Local University
last_indexed 2025-11-14T10:16:53Z
publishDate 2017
publisher Springer - Verlag
recordtype eprints
repository_type Digital Repository
spelling curtin-20.500.11937-595422017-12-10T12:40:46Z The effect of carbon tax on carbon emission abatement and GDP: a case study Liu, X. Leung, Yee-Hong Xu, Y. Yung, L. © 2017, Springer-Verlag GmbH Germany. Carbon tax has been advocated as an effective economic instrument for the abatement of CO 2 emission by various countries, including China, the world’s biggest carbon emission country. However, carbon emission abatement cannot be done while ignoring the impact on economic growth. A delicate balance needs to be achieved between the two to find an appropriate pathway for sustainable development. This paper applies a multi-objective optimization approach to analyze the impact of levying carbon tax on the energy-intensive sectors of Guangdong province in China under the constraint of emission reduction target. This approach allows us to evaluate carbon emission minimization while maximizing GDP. For policy analysis, we construct five scenarios for evaluation and optimal choice. The results of the analysis show that a lower initial carbon tax rate is not necessarily better, and that a carbon tax is an effective means to reduce CO 2 emissions while maintaining a certain level of GDP growth. 2017 Journal Article http://hdl.handle.net/20.500.11937/59542 10.1007/s10109-017-0254-1 Springer - Verlag restricted
spellingShingle Liu, X.
Leung, Yee-Hong
Xu, Y.
Yung, L.
The effect of carbon tax on carbon emission abatement and GDP: a case study
title The effect of carbon tax on carbon emission abatement and GDP: a case study
title_full The effect of carbon tax on carbon emission abatement and GDP: a case study
title_fullStr The effect of carbon tax on carbon emission abatement and GDP: a case study
title_full_unstemmed The effect of carbon tax on carbon emission abatement and GDP: a case study
title_short The effect of carbon tax on carbon emission abatement and GDP: a case study
title_sort effect of carbon tax on carbon emission abatement and gdp: a case study
url http://hdl.handle.net/20.500.11937/59542