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Environmental Tax Reform and the Labour Market: The Double Dividend in Different Labour Market Regimes

By: Kurt Kratena

Edward Elgar

Hardback | Dec 2002 | #136409 | ISBN: 1843761327
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NHBS Price: £72.00 $94/€82 approx

About this book

During the 1990s and 2000s the issue of general welfare double dividend (an improvement in environmental quality combined with a positive welfare effect) triggered by a tax shift from labour to energy resources has been extensively debated. In this book, Kurt Kratena studies the employment effects of revenue neutral shifts from labour to energy, and measures the impact on theoretical and empirical models of the European labour market.


General aspects of environmental tax reform: empirical evidence of environmental tax reform, environmental tax reform in "first generation" CGE models, environmental tax reform in "first generation" macroeconomic models; the "critical view" on environmental tax reform; a common model framework - production, input demand and goods demand; environmental tax reform in the common model framework. Theoretical assessment of different "labour market regimes": competitive labour markets; union wage bargaining; efficiency wages in a search model; conclusions for modelling the labour market. Environmental tax reform in different "labour market regimes" - theory: tax shifts in the competitive model; tax shifts in the union wage bargaining model; tax shifts in the efficiency wage model. Environmental tax reform in different "labour market regimes" - applications: a competitive labour market in a CGE model - GEM-E3; an application of GEM-E3; union wage bargaining in a multisectoral macroeconomic model - E3ME; an application of E3ME.

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