{"id":51623,"date":"2023-12-01T17:40:37","date_gmt":"2023-12-01T16:40:37","guid":{"rendered":"https:\/\/www.wifo.ac.at\/publication\/co2-tax-scenarios-for-austria-impacts-on-household-income-groups-co2-emissions-and-the-economy\/"},"modified":"2024-11-07T05:54:20","modified_gmt":"2024-11-07T04:54:20","slug":"co2-tax-scenarios-for-austria-impacts-on-household-income-groups-co2-emissions-and-the-economy","status":"publish","type":"publication","link":"https:\/\/www.wifo.ac.at\/en\/publication\/51623\/","title":{"rendered":"CO2 Tax Scenarios for Austria. Impacts on Household Income Groups, CO2 Emissions, and the Economy"},"content":{"rendered":"","protected":false},"featured_media":0,"template":"","class_list":["post-51623","publication","type-publication","status-publish","hentry"],"acf":{"subtitle":"","text":"We assess distributive, macroeconomic, and CO2 emission impacts of CO2 tax schemes in Austria by applying the macroeconomic input-output model DYNK[AUT]. The tax schemes analysed focus primarily on CO2 emissions not covered by the European Emission Trading System (ETS), applying different CO2 tax rates as well as tax compensation schemes. We perform comparative scenario analysis for our model's base year (i.e., short-term impacts). Our model simulations indicate that \u2013 without tax compensation \u2013 impacts on households can be regressive if measured as tax burden relative to income, and are found to be rather proportional if measured as tax burden relative to expenditure or as changes in total expenditure and income. Lower income households benefit more from tax compensations (lump sum payments), i.e., CO2 taxes with compensation measures for households lead to progressive tax burden impacts. Energy-related CO2 emissions decrease quite substantially in non-ETS sectors, although households react inelastic. Value added in most non-ETS industry and service sectors declines only slightly without tax compensation and commodity import shares are hardly affected. Decreasing employers' social contribution (i.e., lowering labour costs) mitigates negative impacts in most non-ETS industry and service sectors. GDP decreases very moderately without tax recycling, depending on the tax rate. Employment effects are similar but smaller. Tax recycling leads to negligible GDP impacts and increases employment. Our simulations thus suggest that CO2 taxes could be a crucial and socially acceptable element within a comprehensive set of policy instruments in order to contribute to achieving greenhouse-gas emission targets for non-ETS sectors in Austria.","onlinedate":"2018-03-01 12:00:00","lang":"English","publication_series":"","publication_date":"20180201","publication_date_year":"","publication_date_full":false,"publication_num_pages":"61","keywords":"[]","jelcodes":"[]","related_publications":"[]","pdf":372041,"zip":null,"link":"","monthly_report":true,"monthly_report_main":false,"monthly_report_volume":"","monthly_report_pages":"","monthly_report_pages_sort":"0","issue":"558","journal":"WIFO Working Papers","publisher":"","invisible":false,"external":false,"embargo_date":"2018-03-01 12:00:00","types":[44410],"research_groups":[3655],"collaboration":"","persons":[4293,3743,3652,3659,3665,3675],"persons_data":"[{\"personId\":4293,\"personName\":\"Mathias Kirchner\",\"organisationNames\":[]},{\"personId\":3743,\"personName\":\"Mark Sommer\",\"organisationNames\":[]},{\"personId\":3652,\"personName\":\"Claudia Kettner-Marx\",\"organisationNames\":[]},{\"personId\":3659,\"personName\":\"Daniela Kletzan-Slamanig\",\"organisationNames\":[]},{\"personId\":3665,\"personName\":\"Katharina K\u00f6berl\",\"organisationNames\":[]},{\"personId\":3675,\"personName\":\"Kurt Kratena\",\"organisationNames\":[]}]","clients":[10642],"subclients":[],"partners":[],"topics":[40961],"host_publication_title":"","host_publication_subtitle":"","place_of_publication":"","host_publication_editors":"[]","type_description":"","output_media":"","chapter":"","article_number":"","citations":"{\"apa\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_apa rendering_contributiontoperiodical rendering_apa rendering_contributiontoperiodical_apa\\\"><span>Kirchner, M.<\\\/span><span>, Sommer, M.<\\\/span><span>, Kettner-Marx, C.<\\\/span><span>, Kletzan-Slamanig, D.<\\\/span><span>, K\u00f6berl, K.<\\\/span><span>, &amp; Kratena, K.<\\\/span> (2018). <span>CO2 Tax Scenarios for Austria. Impacts on Household Income Groups, CO2 Emissions, and the Economy<\\\/span>. <span><em>WIFO Working Papers<\\\/em><\\\/span>, (558). <a onclick=\\\"window.open(this.href, '_blank','noopener,noreferrer'); return false;\\\" href=\\\"https:\\\/\\\/www.wifo.ac.at\\\/wwa\\\/pubid\\\/60975\\\" class=\\\"link\\\"><span>https:\\\/\\\/www.wifo.ac.at\\\/wwa\\\/pubid\\\/60975<\\\/span><\\\/a><\\\/div>\",\"vancouver\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_vancouver rendering_contributiontoperiodical rendering_vancouver rendering_contributiontoperiodical_vancouver\\\"><span>Kirchner M<\\\/span><span>, Sommer M<\\\/span><span>, Kettner-Marx C<\\\/span><span>, Kletzan-Slamanig D<\\\/span><span>, K\u00f6berl K<\\\/span><span>, Kratena K<\\\/span>. <span class=\\\"title\\\"><span>CO2 Tax Scenarios for Austria. Impacts on Household Income Groups, CO2 Emissions, and the Economy<\\\/span><\\\/span>. <span>WIFO Working Papers<\\\/span>. 2018 Feb;(558).<\\\/div>\",\"bibtex\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_bibtex rendering_contributiontoperiodical rendering_bibtex rendering_contributiontoperiodical_bibtex\\\"><div>@misc{8777b15a5d8c4115ab7a4f1fadaa8a82,<\\\/div><div>  title    = \\\"CO2 Tax Scenarios for Austria. Impacts on Household Income Groups, CO2 Emissions, and the Economy\\\",<\\\/div><div>  abstract = \\\"We assess distributive, macroeconomic, and CO2 emission impacts of CO2 tax schemes in Austria by applying the macroeconomic input-output model DYNK[AUT]. The tax schemes analysed focus primarily on CO2 emissions not covered by the European Emission Trading System (ETS), applying different CO2 tax rates as well as tax compensation schemes. We perform comparative scenario analysis for our model's base year (i.e., short-term impacts). Our model simulations indicate that \u2013 without tax compensation \u2013 impacts on households can be regressive if measured as tax burden relative to income, and are found to be rather proportional if measured as tax burden relative to expenditure or as changes in total expenditure and income. Lower income households benefit more from tax compensations (lump sum payments), i.e., CO2 taxes with compensation measures for households lead to progressive tax burden impacts. Energy-related CO2 emissions decrease quite substantially in non-ETS sectors, although households react inelastic. Value added in most non-ETS industry and service sectors declines only slightly without tax compensation and commodity import shares are hardly affected. Decreasing employers' social contribution (i.e., lowering labour costs) mitigates negative impacts in most non-ETS industry and service sectors. GDP decreases very moderately without tax recycling, depending on the tax rate. Employment effects are similar but smaller. Tax recycling leads to negligible GDP impacts and increases employment. Our simulations thus suggest that CO2 taxes could be a crucial and socially acceptable element within a comprehensive set of policy instruments in order to contribute to achieving greenhouse-gas emission targets for non-ETS sectors in Austria.\\\",<\\\/div><div>  keywords = \\\"CO2 taxes, climate change, distributive impacts, macroeconomic modelling\\\",<\\\/div><div>  author   = \\\"Mathias Kirchner and Mark Sommer and Claudia Kettner-Marx and Daniela Kletzan-Slamanig and Katharina K{\\\\\\\"o}berl and Kurt Kratena\\\",<\\\/div><div>  note     = \\\"CO2 Tax Scenarios for Austria\\\",<\\\/div><div>  year     = \\\"2018\\\",<\\\/div><div>  month    = feb,<\\\/div><div>  language = \\\"English\\\",<\\\/div><div>  journal  = \\\"WIFO Working Papers\\\",<\\\/div><p>}<\\\/p><\\\/div>\",\"ris\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_ris rendering_contributiontoperiodical rendering_ris rendering_contributiontoperiodical_ris\\\"><p>TY  - GEN<\\\/p><p>T1  - CO2 Tax Scenarios for Austria. Impacts on Household Income Groups, CO2 Emissions, and the Economy<\\\/p><p>AU  - Kirchner, Mathias<\\\/p><p>AU  - Sommer, Mark<\\\/p><p>AU  - Kettner-Marx, Claudia<\\\/p><p>AU  - Kletzan-Slamanig, Daniela<\\\/p><p>AU  - K\u00f6berl, Katharina<\\\/p><p>AU  - Kratena, Kurt<\\\/p><p>N1  - CO2 Tax Scenarios for Austria<\\\/p><p>PY  - 2018\\\/2<\\\/p><p>Y1  - 2018\\\/2<\\\/p><p>N2  - We assess distributive, macroeconomic, and CO2 emission impacts of CO2 tax schemes in Austria by applying the macroeconomic input-output model DYNK[AUT]. The tax schemes analysed focus primarily on CO2 emissions not covered by the European Emission Trading System (ETS), applying different CO2 tax rates as well as tax compensation schemes. We perform comparative scenario analysis for our model's base year (i.e., short-term impacts). Our model simulations indicate that \u2013 without tax compensation \u2013 impacts on households can be regressive if measured as tax burden relative to income, and are found to be rather proportional if measured as tax burden relative to expenditure or as changes in total expenditure and income. Lower income households benefit more from tax compensations (lump sum payments), i.e., CO2 taxes with compensation measures for households lead to progressive tax burden impacts. Energy-related CO2 emissions decrease quite substantially in non-ETS sectors, although households react inelastic. Value added in most non-ETS industry and service sectors declines only slightly without tax compensation and commodity import shares are hardly affected. Decreasing employers' social contribution (i.e., lowering labour costs) mitigates negative impacts in most non-ETS industry and service sectors. GDP decreases very moderately without tax recycling, depending on the tax rate. Employment effects are similar but smaller. Tax recycling leads to negligible GDP impacts and increases employment. Our simulations thus suggest that CO2 taxes could be a crucial and socially acceptable element within a comprehensive set of policy instruments in order to contribute to achieving greenhouse-gas emission targets for non-ETS sectors in Austria.<\\\/p><p>AB  - We assess distributive, macroeconomic, and CO2 emission impacts of CO2 tax schemes in Austria by applying the macroeconomic input-output model DYNK[AUT]. The tax schemes analysed focus primarily on CO2 emissions not covered by the European Emission Trading System (ETS), applying different CO2 tax rates as well as tax compensation schemes. We perform comparative scenario analysis for our model's base year (i.e., short-term impacts). Our model simulations indicate that \u2013 without tax compensation \u2013 impacts on households can be regressive if measured as tax burden relative to income, and are found to be rather proportional if measured as tax burden relative to expenditure or as changes in total expenditure and income. Lower income households benefit more from tax compensations (lump sum payments), i.e., CO2 taxes with compensation measures for households lead to progressive tax burden impacts. Energy-related CO2 emissions decrease quite substantially in non-ETS sectors, although households react inelastic. Value added in most non-ETS industry and service sectors declines only slightly without tax compensation and commodity import shares are hardly affected. Decreasing employers' social contribution (i.e., lowering labour costs) mitigates negative impacts in most non-ETS industry and service sectors. GDP decreases very moderately without tax recycling, depending on the tax rate. Employment effects are similar but smaller. Tax recycling leads to negligible GDP impacts and increases employment. Our simulations thus suggest that CO2 taxes could be a crucial and socially acceptable element within a comprehensive set of policy instruments in order to contribute to achieving greenhouse-gas emission targets for non-ETS sectors in Austria.<\\\/p><p>KW  - CO2 taxes<\\\/p><p>KW  - climate change<\\\/p><p>KW  - distributive impacts<\\\/p><p>KW  - macroeconomic modelling<\\\/p><p>M3  - WIFO series<\\\/p><p>JO  - WIFO Working Papers<\\\/p><p>JF  - WIFO Working Papers<\\\/p><p>ER  - <\\\/p><\\\/div>\"}","scientific_assistance":"[]","scientific_review":"[]","version":"","release_date":null,"expiration_date":null,"surveyor":"","research_assistance":"","edv":"","additional_info_de":"","additional_info_en":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.0 (Yoast SEO v28.0) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>CO2 Tax Scenarios for Austria. Impacts on Household Income Groups, CO2 Emissions, and the Economy - WIFO<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.wifo.ac.at\/en\/publication\/51623\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"CO2 Tax Scenarios for Austria. 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