Berlin Seminar

A recent study by Vivid Economics on "Carbon taxation and fiscal consolidation in Europe" analyses the macro-economic impacts of different taxes in tackling the fiscal deficit. The study shows that carbon pricing is less detrimental than other tax options, as it encourages the substitution of fuel imports with local investment. Building on experience with the implementation of emissions trading, this BSEC focuses on the role carbon pricing could play in balancing Europe's needs for fiscal consolidation with employment and environmental objectives.

An introduction to the study by lead author John Ward and Max Krahé of Vivid Economics was followed by a discussion with Hans-Borchard Kahmann of the German Finance Ministry (Head of Division, Policy issues concerning energy, the environment and natural resources).

The BSEC is jointly organized by TU Berlin, PIK, SWP, DIW Berlin, Ecologic Institute, Institute for Applied Ecology, and CPI, joined this time by special cooperation partner Green Budget Europe.

John Ward, Vivid Economics: Environmental Fiscal Reforms for budget consolidation (PDF, 407.22 KB)