OECD considers carbon pricing design

Released 22 June 2020

The OECD has published a working paper on how the design of carbon pricing instruments affects their effectiveness, efficiency and feasibility.

The paper also evaluates the effectiveness and efficiency of policy instruments to stabilise carbon prices in ETSs, which tend to produce more volatile carbon prices than taxes.

Considering feasibility, the paper also discusses the tax (or emissions) base, how revenue use can affect support from households and firms, and administrative choices.

View the OECD working paper Carbon pricing design: Effectiveness, efficiency and feasibility.

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