Lecture

Environmental Regulation of Production: Air Ticket Tax

Description

This lecture discusses the introduction of an air ticket tax in Switzerland to reduce emissions from aviation. It covers the tax structure, its impact on demand, CO2 emissions from aviation, global climate effects, passenger growth, and the distribution of emissions. The lecture also explores the elasticity of demand, literature on air transport demand elasticities, and simulations of the air ticket tax. It analyzes the implicit CO2 levy, passenger emissions, and possible tax rates for different flight categories. The lecture concludes with the effects of the tax on passengers, CO2 emissions, and tax revenue, as well as potential extensions to further reduce emissions.

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