CCL briefs Hill staff on carbon fee revenue
By Stephanie Doyle
Citizens’ Climate Lobby hosted two briefings on November 19th, with presentations by Rob Williams from Resources for the Future. Rob discussed his research on the Initial Incidence of a Carbon Fee across State and Income Groups.
RFF is a non-partisan organization that conducts economic studies mostly focused on natural resources and the environment. In the first briefing, held in the Senate Russell Office Building, about a third of the attendees were from Republican offices. At the second briefing, held in the Rayburn Office Building, nearly half the attendees were Republicans.
Dr. Williams broke down two studies conducted by RFF, both of which looked at a $30 carbon tax and how the different ways of using the revenue affect households in United States. He gave a brief overview of the models used in the study and then discussed the results.
His takeaway was that while a carbon tax is inherently mildly regressive, it is what you do with the revenue that has the most effect on households. Additionally, he pointed out that the differences across income groups was much larger than that across states. A lump sum rebate was the most progressive of the options, with lower income households and lower income states faring much better under that option than under capital or labor tax reductions.
Stephanie Doyle is Senior Outreach Liaison for Citizens’ Climate Lobby.