Impacts of a carbon tax across US household income groups

Peer Reviewed

RFF Fellow Marc Hafstead and University Fellow Lawrence Goulder Receive Award for Best Paper

We are pleased to share that RFF Fellow Marc Hafstead, University Fellow Lawrence H. Goulder, and two co-authors from California universities have received the 2021 Atkinson Award for best paper published in the Journal of Public Economics between 2018 and 2020. 

The 2019 paper, “Impacts of a Carbon Tax across US Household Income Groups: What Are the Equity-Efficiency Trade-Offs?,” looks at the effects of a carbon tax across US household income groups. It explores how the tax can be designed to avoid imposing significant economic burdens on low-income households and assesses the impact of more equitable policy designs on the overall economic cost. The authors pinpoint the effects of a carbon tax on a household’s purchasing power and sources of income.

Hafstead and Goulder continue to collaborate on climate policy analysis through academic papers and via the RFF-sponsored Goulder-Hafstead general equilibrium model, which projects potential impacts of a range of climate change policies, including the policies analyzed in RFF’s Carbon Pricing Calculator

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Publication | 22 March 2022