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2500 POLLUTION TAX-Center for Environmental Economics and Management Faculty of Economics and Applied Economics
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2500 POLLUTION TAX-Center for Environmental Economics and Management Faculty of Economics and Applied Economics
Huệ My
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Children are more vulnerable to airborne pollutants and they are often more susceptible to the health effects of air pollution because their immune systems and organs are still developing and thus immature. This Air Pollution Toolkit will attempt to help teachers, educators and campaigners in helping children increase their understanding of air pollution and the ways it affects their health, family and community. Some materials in this toolkit are compiled from various sources and redesigned to suit the local context in Nepal. This toolkit provides teachers and educators with easy to use lesson plans, engaging activities, and other resources that. | 2500 Pollution Tax Britt Groosman Center for Environmental Economics and Management Faculty of Economics and Applied Economics University of Ghent Copyright 1999 Britt Groosman Abstract This chapter aims to give a short but comprehensive overview of key literature on pollution taxes. It focuses on the introduction of the concept by Pigou in the 1920s and Coase s alternative property right analysis of the pollution problem. Critiques of both approaches are subsequently discussed. The author then turns to some current views on the topic using tools such as game theory and public choice analysis. Finally a look is taken at different types of pollution taxes used today. JEL classification K32 Keywords Environmental Regulation Green Taxes Pigou Coase Externalities Economic Incentives 1. Introduction Environmental policy was designed to combat the increasing costs of human behavior to our natural environment. Environmental pollution is seen as the main cost to the environment. Pollution can be defined as the harm or damage done to animals plants and their ecosystems Turner Pearce and Bateman 1994 p. 4 . Governments have the option of protecting the environment by means of a direct regulatory approach or a more economic or market-oriented approach. The command-and-control approach uses standards in an attempt to alter behavior the economic approach is based on the use of incentives otherwise known as market-based instruments MBI . The latter implies that a polluter should respond to economic signals once a market in pollution is created. Possibly one of the most widely used methods of economic incentives to change behavior is taxation. The idea of environmental taxation can thus be translated as an attempt to alter polluting human behavior by imposing taxes that can be avoided or diminished by more environmentally friendly behavior. The concept of pollution taxes was put forward almost 80 years ago but is still not universally accepted as an effective means to pollution .
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2500 POLLUTION TAX-Center for Environmental Economics and Management Faculty of Economics and Applied Economics
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