A Study Of The Relationship Between Environmental Tax And Economic Growth

Over the past 20 years,our fast economic growth,in considerable part,is at the cost of natural capital and ecological deficit,which lay greater constraints to economic development.On the other hand,with the global environmental issues becoming increasingly serious,governments in different countries are actively looking for innovative environmental policies.As a result,the environmenta l tax has become a hot topic.On the basis of the former research results,this dissertation conducts a study on the relationship between environmental tax and economic growth.In the methodology, we introduce the indefinite-horizon overlapping generations model and distinguish government action and family behavior in different terms.We show in the short-term, if all of the environmental maintenance expenditures are paid by the government,the introduction of such tax has a negative impact on the economy,it results in the rapid decline in environmental quality;But in the long term,the government invests the environmental tax revenue in the current elderly-welfare spending and the environmental maintenance expenditures are paid by the young family,in this case, whether the "second-dividend" of environmental tax exists depends on the tax rate,If too high or too low,such tax will impede long-term economic development.In this dissertation,one of the challenges is how to design a suitable model to bring the behaviors of families,enterprises and governments into full consideration.In this article,we revised former scholars' research results and introduced the concept "the heterogeneity of beliefs",a breakthrough in the past "the same consumers" assumption,which allows the results more practical.