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dc.contributor.authorDong, Yanen_US
dc.contributor.authorWhalley, Johnen_US
dc.date.accessioned2009-09-02en_US
dc.date.accessioned2010-05-14T08:20:11Z-
dc.date.available2010-05-14T08:20:11Z-
dc.date.issued2009en_US
dc.identifier.urihttp://hdl.handle.net/10419/30488-
dc.description.abstractThis paper highlights the potential for joint OECD (or non-OPEC) carbon taxes to reduce OPEC's monopoly rent and provide benefit to non-OPEC countries provided jointly agreed trigger strategies are adhered to. In traditional economic theory, the primary purpose of a carbon tax is to internalize a global negative externality. A second benefit for individual countries is that the revenue raised by carbon tax can be used to reduce other tax rates and so lower the deadweight loss of tax system. In this paper, we discuss a third benefit of carbon taxes: transferring rents from OPEC to the oil importing countries. We develop a multi-region general equilibrium structure with endogenously determined oil supply for the purpose in which emissions are endogenously determined. We calibrate our model to 2006 data. Our analytics and numerical simulation results highlight how a uniform carbon tax used by all non-OPEC countries will increase the buyer’s price of oil but decrease the supplier's price of oil, thus decreasing non-OPEC countrie's oil demand, and transferring OPEC monopoly rent to non-OPEC countries. Carbon taxes reduce the welfare of OPEC and increase the welfare of non-OPEC countries. Results also show how carbon taxes reduce global emissions, but the effect is small.en_US
dc.language.isoengen_US
dc.publisherCESifo Münchenen_US
dc.relation.ispartofseriesCESifo working paper 2741en_US
dc.subject.jelZ19en_US
dc.subject.ddc330en_US
dc.subject.keywordcarbon taxesen_US
dc.subject.keywordOECDen_US
dc.subject.keywordmonopoly renten_US
dc.subject.stwÖkosteueren_US
dc.subject.stwErdölpreisen_US
dc.subject.stwKartellen_US
dc.subject.stwMonopolen_US
dc.subject.stwRententheorieen_US
dc.subject.stwWohlfahrtseffekten_US
dc.subject.stwOECD-Staatenen_US
dc.subject.stwOPEC-Staatenen_US
dc.titleA third benefit of joint non-OPEC carbon taxes : transferring OPEC monopoly renten_US
dc.typeWorking Paperen_US
dc.identifier.ppn608016934en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-
Appears in Collections:CESifo Working Papers, CESifo Group Munich

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