A Study On The Economic Inlfuences Of Carbon Tax On The Three Regions Of Shaanxi Province

Under the background of global warming, carbon tax is universally acknowledged as themost effective emission reduction measures. As a big country of energy consumption andcarbon emissions, the pressure of energy saving and emission reduction increases with eachpassing day. In2009，the government of our country made positive emission reductioncommitments in the world, and prepares to levy a carbon tax in2012or2013. Chi’nas ShaanxiProvince, the major province of energy, and its emissions also showing a rapid growthmomentum. In the new situation to levy carbon tax, this paper focuses on the characteirstics ofcarbon emissions in the three regions of Shaanxi province and the impact of carbon tax willgive the region’s economic development，in order to put forward the related policy suggestionto promote these regions、economy to achieve sustainable development.Firstly, the intenrational and domestic background of levying carbon tax is introduced,and the carbon tax research at home and abroad are reviewed and evaluated, sums up the basicconnotation, the carbon tax theory, tax system elements. Secondly, introduces the practice ofsome foreign countires levying carbon tax and the main expeirence,Again, this paper willdivide Shaanxi province into three regions, and has analyzed the present situation of carbonemissions in Shaanxi province and its three regions. In the part of empiircal analysis, theeffects of carbon tax are described from the economic aspects. Then this paper usesCobb-Douglas production function model and the panel data, has carried on the analysis aboutthe effect the carbon tax will birng the three regions of Shaanxi Province Economicdevelopment, which is from the economic growth, energy consumption and incomedistirbution three aspects.Finally, this paper arirves at the conclusions: carbon tax will inhibitYulin’s and Yanan’s economic growth; carbon tax will increase the energy consumption in theshort time, the energy consumption of Northern region of Shaanxi will increase to a largeextent growth; carbon tax would reduce the elements of capital and labor productivity, laboreiffciency will decrease to a greater extent than capital, thus widening income gap. But withthe carbon tax rate increases, the negative effect caused by the carbon tax will be graduallyweakened. According to these conclusions,the policy suggestion are as follows:take the laddercarbon tax; provide the different compensation or tax cuts for the different regions of Shaanxi province; Keep the neutral tax,provide subsidies for low-income groups; promote low-carbonenergy sources;fostering emerging industries,optimize the industrial structure;promote theconstruction of forestry carbon sequestration.