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Chapter 8: Economic Modeling of Carbon Fee-and-Dividend Policies
- Scott Nystrom
World Scientific Encyclopedia of Climate Change29 Mar 2021
Preview Abstract
This chapter describes how economic models are used to answer questions about policy changes, specifically in the context of a carbon fee-and-dividend system. A carbon fee-and-dividend is a price on carbon dioxide emissions that returns the revenues gained to ordinary households in the form of a monthly check. The chapter describes, in nontechnical terms, the economic models and modeling processes involved and how they are similar and different from climate models…

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