IDEAS home Printed from https://ideas.repec.org/a/sae/envirc/v23y2005i1p141-152.html
   My bibliography  Save this article

On the Regulatory Choice of Refunding Rules to Reconcile the ‘Polluter Pays Principle’ and Pigovian Taxation: An Application

Author

Listed:
  • Athanasios Kampas

    (Department of Agricultural Economics and Development, Agricultural University of Athens, Iera Odos 75, 11855 Athens, Greece)

  • Laurent Franckx

    (Department of Economics and Management, Royal Military Academy, Avenue de la Renaissance 30, 1000 Brussels, Belgium)

Abstract

The ‘polluter pays principle’ (PPP) is one of the four principles that govern the European Union's environmental policy. Although PPP justifies Pigovian taxation as a legitimate policy means to internalise externalities, there is a potential contradiction between PPP and Pigovian taxation depending upon the definition of pollution control costs. We summarise this debate and focus on the lump-sum refunding of tax revenues in order to reconcile the PPP and Pigovian taxation. We propose equity as the guiding principle to select among various refunding schemes, and empirically examine a specific application.

Suggested Citation

  • Athanasios Kampas & Laurent Franckx, 2005. "On the Regulatory Choice of Refunding Rules to Reconcile the ‘Polluter Pays Principle’ and Pigovian Taxation: An Application," Environment and Planning C, , vol. 23(1), pages 141-152, February.
    • Handle: RePEc:sae:envirc:v:23:y:2005:i:1:p:141-152
    DOI: 10.1068/c04101s
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1068/c04101s
    Download Restriction: no
    File URL: https://libkey.io/10.1068/c04101s?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Paul Burrows, 1979. "Pigovian Taxes, Polluter Subsidies, Regulation, and the Size of a Polluting Industry," Canadian Journal of Economics, Canadian Economics Association, vol. 12(3), pages 494-501, August.
    2. Fischer, Carolyn, 2001. "Rebating Environmental Policy Revenues: Output-Based Allocations and Tradable Performance Standards," RFF Working Paper Series dp-01-22, Resources for the Future.
    3. Herrero, Carmen & Villar, Antonio, 2001. "The three musketeers: four classical solutions to bankruptcy problems," Mathematical Social Sciences, Elsevier, vol. 42(3), pages 307-328, November.
    4. Andreas Lange & Till Requate, 2000. "Pigouvian Taxes in General Equilibrium with a Fixed Tax Redistribution Rule," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 2(1), pages 25-42, January.
    5. Ekins, Paul, 1999. "European environmental taxes and charges: recent experience, issues and trends," Ecological Economics, Elsevier, vol. 31(1), pages 39-62, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Dieter Schmidtchen & Jenny Helstroffer & Christian Koboldt, 2021. "Regulatory failure and the polluter pays principle: why regulatory impact assessment dominates the polluter pays principle," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 23(1), pages 109-144, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jingyi Xue, 2018. "Fair division with uncertain needs," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 51(1), pages 105-136, June.
    2. Liu, Beibei & He, Pan & Zhang, Bing & Bi, Jun, 2012. "Impacts of alternative allowance allocation methods under a cap-and-trade program in power sector," Energy Policy, Elsevier, vol. 47(C), pages 405-415.
    3. Sterner, Thomas & Muller, Adrian, 2006. "Output and Abatement Effects of Allocation Readjustment in Permit Trade," RFF Working Paper Series dp-06-49, Resources for the Future.
    4. Becker, Jonathon M., 2021. "General equilibrium impacts on the U.S. economy of a disruption to Chinese cobalt supply," Resources Policy, Elsevier, vol. 71(C).
    5. Henrik Klinge Jacobsen & Katja Birr-Pedersen & Mette Wier, 2003. "Distributional Implications of Environmental Taxation in Denmark," Fiscal Studies, Institute for Fiscal Studies, vol. 24(4), pages 477-499, December.
    6. Christoph Böhringer & Carolyn Fischer & Nicholas Rivers, 2023. "Intensity-Based Rebating of Emission Pricing Revenues," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 10(4), pages 1059-1089.
    7. Dissou, Yazid, 2005. "Cost-effectiveness of the performance standard system to reduce CO2 emissions in Canada: a general equilibrium analysis," Resource and Energy Economics, Elsevier, vol. 27(3), pages 187-207, October.
    8. Fischer, Carolyn, 2011. "Market power and output-based refunding of environmental policy revenues," Resource and Energy Economics, Elsevier, vol. 33(1), pages 212-230, January.
    9. Bode, Sven, 2006. "Multi-period emissions trading in the electricity sector--winners and losers," Energy Policy, Elsevier, vol. 34(6), pages 680-691, April.
    10. Teresa Estañ & Natividad Llorca & Ricardo Martínez & Joaquín Sánchez-Soriano, 2020. "On the difficulty of budget allocation in claims problems with indivisible items of different prices," ThE Papers 20/09, Department of Economic Theory and Economic History of the University of Granada..
    11. Andrea Zatti & Fiorenza Carraro, 2013. "Environmental taxation and municipal fiscal federalism: remarks and perspectives on the Italian case study," ECONOMICS AND POLICY OF ENERGY AND THE ENVIRONMENT, FrancoAngeli Editore, vol. 2013(2), pages 61-92.
    12. Jaume García-Segarra & Miguel Ginés-Vilar, 2023. "Additive adjudication of conflicting claims," International Journal of Game Theory, Springer;Game Theory Society, vol. 52(1), pages 93-116, March.
    13. Teresa Estañ & Natividad Llorca & Ricardo Martínez & Joaquín Sánchez-Soriano, 2021. "On the Difficulty of Budget Allocation in Claims Problems with Indivisible Items and Prices," Group Decision and Negotiation, Springer, vol. 30(5), pages 1133-1159, October.
    14. Takao Asano & Noriaki Matsushima, 2014. "Environmental regulation and technology transfers," Canadian Journal of Economics, Canadian Economics Association, vol. 47(3), pages 889-904, August.
    15. José Alcalde & María Marco & José Silva, 2008. "The minimal overlap rule revisited," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 31(1), pages 109-128, June.
    16. Eric Bax, 2020. "Heavy Tails Make Happy Buyers," Papers 2002.09014, arXiv.org.
    17. Andrea Gallice, 2022. "Bankruptcy Problems with Self-Serving Biased Reference Points," Carlo Alberto Notebooks 683 JEL Classification: D, Collegio Carlo Alberto.
    18. Martijn Ketelaars & Peter Borm & Marieke Quant, 2020. "Decentralization and mutual liability rules," Mathematical Methods of Operations Research, Springer;Gesellschaft für Operations Research (GOR);Nederlands Genootschap voor Besliskunde (NGB), vol. 92(3), pages 577-599, December.
    19. repec:old:wpaper:346 is not listed on IDEAS
    20. Emmanuel Combet & Frédéric Ghersi & Jean-Charles Hourcade & Camille Thubin, 2010. "La fiscalité carbone au risque des enjeux d’équité," Revue Française d'Économie, Programme National Persée, vol. 25(2), pages 59-91.
    21. Lorenzo-Freire, S. & Casas-Mendez, B. & Hendrickx, R.L.P., 2005. "The Two-stage Constrained Equal Awards and Losses Rules for Multi-Issue Allocation Situation," Other publications TiSEM a94f2306-7d29-4ad6-8e81-e, Tilburg University, School of Economics and Management.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:envirc:v:23:y:2005:i:1:p:141-152. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.