Seminar Corporate taxation and carbon emissions Departmental Seminar Add to calendar 2024-05-09 13:30 2024-05-09 14:45 Europe/Rome Corporate taxation and carbon emissions Seminar Room 3rd Floor Villa La Fonte YYYY-MM-DD Print Share on Facebook Share on X Share on LinkedIn Send by email When 09 May 2024 13:30 - 14:45 CEST Where Seminar Room 3rd Floor Villa La Fonte Organised by Department of Economics In this seminar, Julien Sauvagnat (Bocconi University) will present the paper 'Corporate Taxation and Carbon Emissions.' We study the relationship between corporate taxation and carbon emissions in the U.S. We show that dirty firms pay lower profit taxes. This relationship is driven by dirty firms benefiting disproportionately more from the tax shield of debt due to their higher leverage. In addition, we document that the higher leverage of dirty firms is fully accounted for by the larger share of tangible assets owned by such firms. We build a general-equilibrium multi-sector economy and show that a revenue-neutral increase in profit taxation could lead to large decreases in aggregate carbon emissions without any noticeable change in GDP. Scientific Organiser(s): Prof. Alexander Monge-Naranjo (EUI - Department of Economics) Speaker(s): Julien Sauvagnat (Bocconi University)