We analyse the economic and environmental impacts of different CO2 tax (uniform or progressive) and rebate (reduction of VAT,
social contributions or lump-sum payments) schemes with focus on private consumption (i.e., heating and mobility) as well
as distributional impacts on different household income quintiles in Austria. We use the econometric input-output model DYNK
to investigate these impacts. DYNK is able to consider macroeconomic feedbacks of CO2 taxes and accompanying rebate schemes.
An energy module allows to link production and consumption activities with energy demand and associated GHG emissions and
includes behavioural estimations with regard to energy demand for private household income quintiles that are fully integrated
in the macroeconomic part of the model. First preliminary results indicate that a uniform CO2 tax on fossil fuel use for private
consumption (including a tax rebate on VAT for other commodities) has a weak regressive impact on household incomes. The distributional
impact of CO2 taxes differs between heating and mobility consumption.
JEL-Codes:C61; C67; E12; E20; H23; Q35; Q43; Q54
Keywords:CO2 tax, GHG emissions, input-output, distributional impacts, income quintiles
Forschungsbereich:Umwelt, Landwirtschaft und Energie