Can Carbon Taxes be Good for China and the United States?

Author Antung Anthony Liu argues that carbon taxes that recycle revenues and cut taxes in other areas can be good for both economic welfare and growth because they are more efficient than other forms of taxation. The paper summarizes three advantages of carbon taxes, contending they are harder to evade than other taxes, less likely to distort market behavior, and act as a deterrent to the informal, untaxed economy.