Some Basic Economics of Carbon Taxes

14 Pages Posted: 2 Jun 2011

Multiple version iconThere are 2 versions of this paper

Date Written: June 2011


This article asks three questions. First, how do carbon taxes drive economic and environmental outcomes? Second, what is the appropriate economic base on which carbon taxes should be levied? Finally, how well does a carbon tax deliver economic and environmental outcomes compared to a comparable emissions trading scheme?

Suggested Citation

Clarke, Harry, Some Basic Economics of Carbon Taxes (June 2011). Australian Economic Review, Vol. 44, Issue 2, pp. 123-136, 2011, Available at SSRN: or

Harry Clarke (Contact Author)

University of Melbourne ( email )

Barry Street
Melbourne 3052, Vic 3086

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