| Environmental taxation is a market based mechanism which could be used to reduce pollutants including those that affect the global environment. The focus of this thesis is on the use of environmental taxes to address global warming, especially through energy and carbon taxes. For years governments have been using command and control mechanisms to reduce polluting emissions in production, with no real effectiveness. Energy and carbon taxes are an alternative policy instrument. Through its implementation, polluting could become a cost for producers, creating incentives to reduce emission, develop and implement environmentally friendly technology. This implementation will also create a shift or reallocation of the costs created by pollution.; This thesis will try to explain how environmental taxes would be useful to approach global warming. It also discusses several issues which must be taken into consideration when implementing and designing this mechanism, giving consideration to several options and approaches. |
