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| Beghin, John C.; Dessus, Sebastien. |
| The double-dividend debate evolves around the possibility (or not) of substituting environmental taxes for more distortionary taxes to reduce both pollution degradation and/or damages (the first dividend) and the excess burden of existing taxes (the second dividend), without eroding tax revenues. This paper contributes to the double dividend debate with a formal analysis and some numerical evidence emphasizing trade and environmental distortions. The substitution of environmental taxes for trade distortions has been neglected in the double-dividend debate, which has centered on labor market distortions. Conditions for the existence of a double dividend are derived for different characterizations of preferences and policy menus. We empirically explore the... |
| Tipo: Working or Discussion Paper |
Palavras-chave: Double dividend; Trade and environment; Piecemeal reform; Policy coordination; Chile; International Relations/Trade; F13; Q28; H21. |
| Ano: 1999 |
URL: http://purl.umn.edu/18569 |
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