The Study ofCompany‘s Carbon Abatement InvestmentUnder Carbon Tax：（研究ofCompany的碳减排InvestmentUnder碳税）.pdfVIP

Advanced Materials Research Online: 2013-12-13 ISSN: 1662-8985, Vols. 869-870, pp 860-865 doi:10.4028//AMR.869-870.860 © 2014 Trans Tech Publications, Switzerland The Study ofCompany‘s Carbon Abatement InvestmentUnder Carbon Tax Xia Jiayun*1, a, Gao Xianglou2,b 1East China University of Science and Technology ,Shanghai, 2 237, China 2East China University of Science and Technology ,Shanghai, 2 237, China a b xjy072@126.com, gxlou@ Keywords:Carbon emission tax; Carbon abatement; Cournot game; Two-stage game Abstract.Emission tax is one of the most efficient economic mechanisms to reduce carbon emissions. Under the situation that government imposes tax, we develop a two-stage dynamic game model.First, Government achieves total carbon emissions targets by imposing carbon tax.Second,two companies constitute a Cournot duopoly market. Companies adjust their output and the proportion of carbon emissions to maximize profits.And through numerical analysis, we find that: When the Government set up the target emission,it will encourage companies to invest carbon emissionsabatement, and enable companies to reduce carbon emissions.And then the Government may reduce the rate of carbon tax. Finally, Government and companiescan get win-win situation.In the Cournot duopoly market, Abatement Company has more advantage in the competition of the market and more sustainableunder the constraint of carbon tax. Otherwise, Non-abatement company is more sensetive to the changes of carbon tax. Introduction With Continuous development of techn