Research on the Coordination of Different Policy Objectives in the Design of China's Carbon Tax

Among all emission reduction measures,the carbon tax is recognized as the most effective way to improve our climate,that's why Chinese government pays attention to it as tax reform direction recently.In the current economic analysis,the design of carbon tax is mostly based on the objective to maximize the efficiency,which is also called Pigou Tax Theory.However,as an integral part of tax reform,we should also consider other policy objectives in the design of carbon tax,such as equity,revenue and cost,and then balance different objectives to achieve the suboptimum reform of carbon tax system in China.The author discusses the diversity of policy objectives,and tries to figure out how to adapt to these objectives in the design of China's carbon tax.