Double Dividend

Of all the potential tax reforms, taxing pollution and carbon dioxide emissions has the greatest promise. The analysis in Double Dividend provides a rigorous and thoughtful examination of the costs, benefits, and distributional impacts of green taxes. Any country contemplating tax reforms should begin with a study of the important conclusions in this volume.

William Nordhaus, Sterling Professor of Economics, Yale University

Jorgenson and colleagues provide the most thorough, rigorous analysis to date on how shifting taxes—away from capital and labor and onto carbon dioxide and other greenhouse gases—can both mitigate climate change and boost economic growth. Their analysis is unique in its theory-driven model structure, data-driven estimation, and detailed representation of existing taxes, emission sources, and household impacts. It is an important and especially timely contribution to the twin debates over climate change policy and fiscal reform.

William A. Pizer, Duke University

This is a very impressive book. It provides a magisterial analysis of the impacts on the US economy from alternative levels of climate mitigation effort when taking into account capital formation, technological change, and the structure of economic growth. The attention to detail is exemplary, as illustrated, for example, by the careful delineation of impacts on households with different demographic and socio-economic characteristics. For researchers, this offers the state of the art in general equilibrium modeling. For policy analysts, it offers a powerful demonstration of the practical benefits from thoughtful policy design.

Michael Hanemann, Wrigley Professor of Economics, Arizona State University, and Chancellor's Professor Emeritus, Department of Agricultural & Resource Economics,University of California, Berkeley