Carbon pricing and COVID-19

Simple item page
dc.check.date2021-11-15
dc.check.infoAccess to this article is restricted until 24 months after publication at the request of the publisheren
dc.contributor.authorMintz-Woo, Kian
dc.contributor.authorDennig, Francis
dc.contributor.authorLiu, Hongxun
dc.contributor.authorSchinko, Thomas
dc.date.accessioned2021-01-26T16:56:33Z
dc.date.available2021-01-26T16:56:33Z
dc.date.issued2020-11-15
dc.date.updated2021-01-20T12:35:32Z
dc.description.abstractA question arising from the COVID-19 crisis is whether the merits of cases for climate policies have been affected. This article focuses on carbon pricing, in the form of either carbon taxes or emissions trading. It discusses the extent to which relative costs and benefits of introducing carbon pricing may have changed in the context of COVID-19, during both the crisis and the recovery period to follow. In several ways, the case for introducing a carbon price is stronger during the COVID-19 crisis than under normal conditions. Oil costs are lower than normal, so we would expect less harm to consumers compared to normal conditions. Governments have immediate need for diversified new revenue streams in light of both decreased tax receipts and greater use of social safety nets. Finally, supply and demand shocks have led to already destabilized supply-side activities, and carbon pricing would allow this destabilization to equilibrate around greener production for the long-term. The strengthening of the case for introducing carbon pricing now is highly relevant to discussions about recovery measures, especially in the context of policy announcements from the European Union and United States House of Representatives. Key policy insights: Persistently low oil prices mean that consumers will face lower pain from carbon pricing than under normal conditions; Many consumers are more price-sensitive during the COVID-19 context, which suggests that a greater relative burden from carbon prices would fall upon producers as opposed to consumers than under normal conditions; Carbon prices in the COVID-19 context can introduce new revenue streams, assisting with fiscal holes or with other green priorities; Carbon pricing would contribute to a more sustainable COVID-19 recovery period, since many of the costs of revamping supply chains are already being felt while idled labour capacity can be incorporated into firms with lower carbon-intensity.en
dc.description.statusPeer revieweden
dc.description.versionAccepted Versionen
dc.format.mimetypeapplication/pdfen
dc.identifier.citationMintz-Woo, K., Dennig, F., Liu, H. and Schinko, T. (2020) 'Carbon pricing and COVID-19', Climate Policy, (9 pp). doi: 10.1080/14693062.2020.1831432en
dc.identifier.doi10.1080/14693062.2020.1831432en
dc.identifier.eissn1752-7457
dc.identifier.endpage9en
dc.identifier.issn1469-3062
dc.identifier.journaltitleClimate Policyen
dc.identifier.startpage1en
dc.identifier.urihttps://hdl.handle.net/10468/10970
dc.language.isoenen
dc.publisherTaylor & Francisen
dc.relation.urihttps://doi.org/10.1080/14693062.2020.1831432
dc.rights© 2020 Informa UK Limited, trading as Taylor & Francis Group. This is the Author’s Original Manuscript of an article published by Taylor & Francis in Climate Policy on 15 Nov 2020, available online: http://www.tandfonline.com/10.1080/14693062.2020.1831432en
dc.subjectCarbon priceen
dc.subjectCOVID-19en
dc.subjectCarbon taxen
dc.subjectClimate policyen
dc.subjectEmissions tradingen
dc.subjectGreen recoveryen
dc.titleCarbon pricing and COVID-19en
dc.typeArticle (peer-reviewed)en
Files
Original bundle
Now showing 1 - 1 of 1
Thumbnail Image
Name:
Mintz-Woo-2020-Carbon_pricing_and_COVID-19.pdf
Size:
1.16 MB
Format:
Adobe Portable Document Format
Description:
Accepted version
Download
License bundle
Now showing 1 - 1 of 1
Thumbnail Image
Name:
license.txt
Size:
2.71 KB
Format:
Item-specific license agreed upon to submission
Description:
Download
Collections
Philosophy - Journal Articles