Study on the incentive effect of the environmental tax on pollutant emission reduction in the hog farming industry:Inherent mechanisms and appropriate tax rates
Study on the incentive effect of the environmental tax on pollutant emission reduction in the hog farming industry:Inherent mechanisms and appropriate tax rates
This study constructed a general equilibrium model with hog farmers,the government,and consumers as its stakeholders.It then examined how environmental taxes affect livestock and poultry producers'efforts to reduce pollution at the two levels that include the modification of processes and end-of-pipe treatment.Using provincial-level panel data from 2007~2020 in China,we empirically investigated the asymmetric relationships between environmental taxes and pollutant emissions by large-scale hog farmers.This paper also evaluated an appropriate range of tax rates that can incentivize farmers to actively participate in emission reduction investments.The results showed that,as the environmental tax rate went up,pollutant emissions from the hog farming industry went up first and then down in an inverted U shape.Once the tax rate hit a range of 5.20 to 5.75 CNY per pollution equivalent,farmers were inclined to allocate their resources into endeavors that aim to mitigate pollution.The mechanism analysis revealed that the emission reduction effect of environmental taxes mainly came from two sources:the acquisition of pollution treatment equipment(contributing 34.19%)and the transition to concentrate feed(contributing 23.34%).The abatement effect of the environmental tax was particularly obvious in areas designated as critical development zones and constrained development zones.To incentivize large-scale hog farmers to invest in abatement measures,a higher tax rate is required in comparison to medium-scale farms.
关键词
环境保护税/污染物减排/内在机制/合理税率区间/生猪养殖业
Key words
environmental tax/pollutant reduction/intrinsic mechanism/appropriate tax rate range/hog farming industry