Educoretax
Vol 4 No 10 (2024)

The implementation of carbon tax as an emission reduction instrument policy in the Nordic countries: Pigovian tax effect analysis

Wibowo, Rafly Surya (Unknown)
Naylah, Maal (Unknown)



Article Info

Publish Date
25 Oct 2024

Abstract

Climate change has caused an urgency to implement regulations in various countries to address the factors that cause climate change. Carbon tax is one of tools to address climate change. Carbon tax is one of implementation of the Pigovian tax that aims to internalize the negative impacts of carbon emissions by imposing a fee on the emissions produced. This research aims to analyze the effect of carbon tax policies and factors that influence carbon emissions in Nordic countries in 2010-2019 using panel data regression with fixed effect model estimation. Economic growth, population growth, renewable energy consumption, and fossil consumption are variables added as control variables in this study. The sample in this study consists of four Nordic countries, namely Denmark, Finland, Norway, and Sweden. The results of the study show that carbon taxes, population growth, and renewable energy consumption have a negative and significant effect on carbon emissions. Then it was found that economic growth and fossil consumption has a positive and significant effect on carbon emissions.

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Journal Info

Abbrev

educoretax

Publisher

Subject

Humanities Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Law, Crime, Criminology & Criminal Justice Social Sciences

Description

Educoretax is a place for disseminating research results in the field of taxation, including, but not limited to, topics on central taxes, customs, excise, local taxes, regional levies, tax accounting, tax law, tax administration, tax information systems, public policies, and other ...