Question

'Taxes can’t control pollution. They’ll just drive the little firms out of business while the big firms, who can afford to pay, go right on polluting.” Do you agree? (250-300words)

Answer 1

“Green taxes” (also called "environmental taxes" or "pollution taxes" or “eco taxes”) are excise taxes on environmental pollutants or on goods whose use produces such pollutants. “Green taxes” are meant to improve the environment or reduce the negative impact on the environment or create an environmentally sustainable environment. “Green taxes” are a kind of economic instruments to address environmental problems. It is generally believe that “green taxes” will reduce environmental harm in the least costly manner, by encouraging changes in behaviour by firms, organisations, communities and households and individuals etc. Taxes on pollution provide clear incentives to polluters to reduce emissions and seek out cleaner and sustainable alternatives.

We will be analysing two economic instruments for pollution control: pollution taxes and tradeable permits. We do this in the context of the practical application of these instruments to real-world pollution control problems. To be more precise, . we assume that society has set some specified target for pollution reduction.Targets instead will be assumed to have been set through the political process, using scientific inputs on likely damages, and economics  inputs on both damage costs and control cost. Such targets are typically of two types first is a target reduction in emissions output, across a specified set of dischargers.The second type is a target improvement in ambient environmental quality.

Everyone may not agree with “green taxes” however, “green taxes” can be seen as an incentive to lessen environmental burden and preserve the environment. The revenues generated by “green taxes” can also be used for other environmental preservation projects or to cut other taxes. Nevertheless, everyone for sure would like to see an environmentally sustainable future and a healthy natural and living environment in their country.

Yes, in my opinion green tax is the best way, but it should be packaged in a revenue-neutral way & also we may increase taxes on the Bads/pollution & reduce tax on the Goods, such as hard-earned income. The key to solution is raising public awareness & eduaction.