Understanding Carbon Tax

What is the primary goal of implementing a carbon tax?

• To increase government revenue

• To reduce carbon emissions by encouraging renewable energy use

• To make fossil fuels more affordable

• To support fossil fuel industries

How might a carbon tax affect businesses like Emma's bathing suit company?

• It would force them to close down

• It would encourage them to find renewable energy alternatives

• It would decrease their production costs

• It would have no impact on their operations

Who is most likely to bear the cost of a carbon tax if it is applied at the beginning of the energy supply chain?

• Individual households

• Suppliers of coal and fossil fuels

• Retail consumers

• Local governments

What is a potential drawback of a carbon tax mentioned in the transcript?

• It would decrease the cost of living

• It might cause companies to relocate to countries with fewer restrictions

• It could lead to increased competitiveness of businesses

• It would eliminate the need for renewable energy

How do carbon taxes vary globally according to the transcript?

• They are the same in every country

• They are higher in countries with more fossil fuel resources

• They vary significantly, with some countries having very high or very low rates

• They are only implemented in developed countries