This paper investigates the economic impacts of environmental tax reforms designed to reach given emission reduction targets for the German economy. Our focus is on the efficiency and employment implications of alternative schemes for emission tax differentiation between the production sector...

Germany has committed itself to reducing its carbon emissions by 25 percent in 2005 as compared to 1990 emission levels. To achieve this goal, the government has recently launched an environmental tax reform which entails a continuous increase in energy taxes in conjunction with a...

The economic effects of environmental taxes depend on the market structure. Under imperfect competition with free entry and exit, environmental taxes have an impact on economies of scale by changing the number and size of firms. Whether economies of scale rise or fall in a particular industry...

Environmental tax schemes in OECD countries often involve tax rates differentiated across industrial, commercial and household sectors. In this paper, we investigate four potentially important arguments for these deviations from uniform taxation: pre-existing tax distortions, domestic equity...

This paper investigates the economic impacts of environmental tax reforms designed to reach given emission reduction targets for the German economy. Our focus is on the efficiency and employment implications of alternative schemes for emission tax differentiation between the production sector...