Using a representative survey, we find that after the Yellow Vests movement, French people would largely reject a tax and dividend policy, i.e., a carbon tax whose revenues are redistributed uniformly to each adult. They overestimate their net monetary losses, wrongly think that the policy is regressive, and do not perceive it as environmentally effective. We show that changing people's beliefs can substantially increase support. Although significant, the effects of our informational treatments on beliefs are small. Indeed, the respondents that oppose the tax tend to discard positive information about it, which is consistent with distrust, uncertainty, or motivated reasoning.
Douenne, Thomas, and Adrien Fabre.
"Yellow Vests, Pessimistic Beliefs, and Carbon Tax Aversion."
American Economic Journal: Economic Policy,
Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
Taxation and Subsidies: Externalities; Redistributive Effects; Environmental Taxes and Subsidies
Fiscal Policies and Behavior of Economic Agents: Household
Climate; Natural Disasters and Their Management; Global Warming
Environmental Economics: Government Policy