Yellow vests, pessimistic beliefs, and carbon tax aversion by Thomas Douenne, and Adrien Fabre
By: Douenne, Thomas
.
Contributor(s): Fabre, Adrien.
Material type: 
ArticlePublisher: 2022Subject(s): CARBON | IMPUESTOS | OPINION PUBLICA | ENCUESTAS
In:
American Economic Journal : Economic Policy v. 14, n. 1, February 2022, p. 81-110Summary: 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.
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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.
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