Investigating the effects of green taxes on the quality of the environment and government expenses and the economic well-being of households using the Nordhaus model.

masoumeh soltani nejhad ¹ ( kerman azad university , )
Abdolmajid jalaee ² ( Associate Professor, Faculty of Management and Economics martyr Bahonar University )
Mohsen Zayandehroody ³ ( Department of Economics, Islamic Azad University of Kerman, Kerman, Iran )

Submited date : 2021-12-03 Accepted date : 2024-08-21

Keywords: green tax, government expenditure . economic welfare, Nordhaus model,

Abstract :

The purpose of this article is to investigate the effects of green taxes on the quality of the environment and government expenses and the economic well-being of households using the Nord Haus model. In this research, scenarios of 0.5, 1, 1.5 and 2 percent green tax on the economic well-being of households were measured. The results showed that while adopting 0.5% green tax, the level of economic welfare increases. But in the next stage, it reaches a stable trend. But in the situation of 0.1%, the level of economic well-being increases in the first stage, and then it takes an average state, and then it decreases a certain amount. It can be said that economic prosperity has increased in the short term but decreases in the long term.But the situation of 1.5% and 2% green tax scenarios is different. Economic well-being increases in the first stage of these two scenarios, but in the long term, its amount decreases.