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economics
What Is Carbon Tax?
Written by the Common Good Policy Team
In plain English
A fee imposed on fossil fuel producers or users based on the amount of carbon dioxide emitted when their products are burned. By making pollution more expensive, a carbon tax creates a market incentive to switch to cleaner energy sources without the government picking winners.
The Full Explanation
Related Policy Positions
See how the Common Good platform addresses the issues connected to this term.
Climate & Energy
The climate window is closing — but the clean energy transition is also the largest job-creation opportunity in American history.
Trade Policy
Trade generated $2.6 trillion in gains — while destroying 2.4 million jobs in communities that never recovered. The fix is fair rules, not blanket tariffs.