Evaluating the effectiveness of carbon tax for total emission control of carbon dioxide - Systems analysis of a dynamic environmental-economic model

This paper deals with how to evaluate the effectiveness of carbon tax (environmental tax) for regulating the carbon dioxide emissions. For this purpose we mainly deal with a primal problem and its dual problem of dynamic linear programming model. The primal problem is formulated by using Leontief type input-output model and the basic idea of commodity stocks. It represents the balance of materials. The dual problem is obtained and interpreted as dash balance. It is clarified in this paper whether the carbon tax is effective to decrease the total amount of carbon dioxide emissions. Copyright (C) 1998 IFAC.