The purpose of this research is to assess the economic impacts of global warming mitigation policy on the Taiwan economy and its industries. A static, long-run computable general equilibrium (CGE) model is constructed and calibrated for Taiwan. The special feature of this model is the adoption of two-tiered generalized Leontief (GL) cost functions to represent the production technology. Scenarios for the imposition of carbon taxes are introduced, and the model is simulated to obtain the counter-factual equilibrium solutions. The results of policy simulations suggest that carbon taxes generate significant impacts on the Taiwan economy and its energy intensive industries.
東亞環境與資源經濟學研討會論文集(二)=Conference on East Asian Environmental and Resource Economics and Policy=Proceedings (II)，頁1-25