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There are trade-offs between equity and efficiency concerns. Efficiency gains seem greatest if taxes on investment income are reduced; equity objectives are better served if taxes on labor earnings are reduced. A combination of the two—using the revenues to cut both capital and labor taxes—would balance these objectives. Moreover, the distributional impacts of a carbon tax should be judged against the impacts of a business-as-usual policy. A number of studies predict that global warming would lead to higher food prices.

G. Richels (1990b), "CO2 Emissions Limits: An Economic Cost Analysis for the USA," The Energy Journal, Vol. 11, no. 2, pp. 51-74. McKibbin, W. J. S. : The Brookings Institution. , Ellerman, A. and H. Jacoby (1996), "The MIT Emissions Prediction and Policy Analysis (EPPA) Model," Report No. 6, May, MIT Joint Program on the Science and Policy of Global Change. THE COSTS OF CLIMATE PROTECTION/WORLD RESOURCES INSTITUTE 4 7 ABOUT THE AUTHORS Robert Repetto is Vice President and Senior Economist at the World Resources Institute and Director of the Program in Economics and Population.

21-47. A. W. S. Dept. C. A. W. C. , H. Pitcher, D. Barns, R. Baron and M. N. University Conference on 'Global Change and Modelling,' Tokyo, Japan, October. Hamilton, Leonard D. et al. Y. Jorgenson, D. and P. S. Carbon Dioxide Emissions: The Cost of Different Goals," in Advances in the Economics of Energy and Resources, Vol. 7, pp. 125-158, Greenwich, CT: JAI Press. Jorgenson, D. and P. S. Environmental Regulation," Journal of Policy Modeling 12, pp. 715-744. Kaufmann, Robert, H-Y Li, P. Pauly, L.

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