Updated content - Updated: 2018-08-16
A carbon tax is a fee imposed on the burning of carbon-based fuels. Its purpose is to shift the cost of the societal impacts from emitting carbon dioxide into the atmosphere from the general public to the entities that emit that carbon dioxide (CO2). The carbon tax is one of two major market-based tools available to drive down a country's emissions (the other being cap-and-trade schemes
). Many economists, environmental activists and consumers prefer the carbon tax for its simplicity and impartiality.
Essentially, the carbon tax is a form of pollution tax, with the pollutant being CO2. The government sets a price per ton on carbon emissions to the atmosphere and levies...Click to read more...