Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/192225 
Authors: 
Year of Publication: 
1998
Series/Report no.: 
Discussion Papers No. 242
Publisher: 
Statistics Norway, Research Department, Oslo
Abstract: 
The working of the labour market is important for the total welfare effects of tax reforms. This paper analyses, by using a computable general equilibrium model for the Norwegian economy, how different assumptions about labour mobility between industries and wage formation influence the non-environmental welfare effects of an environmental tax reform. Three different alternatives are analysed; competitive labour market, immobility and wage rigidity, and wage formation through union wage bargaining. The welfare effects differ substantially between the alternatives, depending especially on the total tax wedge on labour.
Subjects: 
Dynamic equilibrium analysis
Imperfect labour markets
Environmental tax reforms
JEL: 
C68
D58
D60
D90
H20
J51
J60
Q43
Document Type: 
Working Paper

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