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Started from the bottom instrumental







  • Switzerland recycles revenues from its carbon tax by reimbursing two-thirds of the proceeds to all inhabitants as reductions in health insurance charges, which increases distributional equity and helps foster support for the policy.
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    The perceived fairness and public acceptability of carbon pricing is likely to be higher when corresponding tax revenues are channelled toward mitigating the net impact on household pocketbooks. All policies, particularly pricing and fiscal instruments, have distributional impacts and require careful design to prevent negative effects or perceived unfairness.









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