• Environmental and Resource Economics Review
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• v.27 no.1
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• pp.67-104
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• 2018

In this paper, we compare the spread effects of the carbon tax imposition method using the real business cycle model considering the productivity and energy price shocks. Scenario 1 sets the carbon tax rate that encourages the representative firm to maintain a constant $CO_2$ reduction ratio in accordance with its green house gas reduction targets for each period. Scenario 2 sets the method of imposing the steady state value of the carbon tax rate of Scenario 1 during the analysis period. The impulse response analysis shows that the responses of $CO_2$ emissions to external shocks are relatively sensitive in scenario 2. And simulation results show that the cost of $CO_2$ abatement is more volatile in scenario 1, and $CO_2$ emissions and $CO_2$ stock are more volatile in scenario 2. In particular, the percentage changes in volatility between the two scenarios of $CO_2$ emissions and $CO_2$ stock increase as the green house gas reduction target is harder. When the green house gas reduction target is 60% and over, the percentage changes(absolute value) between the two scenarios exceed the percentage change(absolute value) of the $CO_2$ reduction cost between them.

• Environmental and Resource Economics Review
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• v.32 no.1
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• pp.47-75
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• 2023

Compared to the EU, which legislates the Carbon Border Adjustment System (CBAM), the United States' carbon border adjustment policy movement is still relatively slow. Recently, however, a related bill has been proposed in the United States, and research institutes have been presenting research results on how to introduce an upstream carbon tax rather than an emission trading system and carry out carbon border adjustment based on it. Therefore, in this study, we looked at the economic and environmental effects of introducing this type of upstream carbon tax and carbon border adjustment in Korea. If an upstream carbon tax of KRW 30,000 per ton of CO₂ is applied to the net supply of domestic fossil energy, the expected carbon tax revenue is approximately KRW 22.9961 trillion, equivalent to about 5.7% of the total revenue of the Korean government of KRW 402 trillion in 2019. In addition, the carbon dioxide content of the steel sector, calculated based on the energy supply and demand status of the steel sector, which emits the most greenhouse gas emissions in Korea and has a considerable amount of overseas exports, was 106.22 million tons of CO₂. On the other hand, assuming that the upstream carbon tax of 30,000 won per ton of CO₂ embodied is directly passed on to the production cost of the steel sector, the carbon tax burden in the steel sector is estimated to reach approximately KRW 3.1865 trillion. Even after deducting KRW 1.1599 trillion in export refunds estimated by using the share of exports of steel products, the net carbon tax burden on steel products for domestic demand amounts to KRW 2.0266 trillion, which is analyzed to act as a factor in increasing the price of steel products.

• 한국전산유체공학회:학술대회논문집
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• 2011.05a
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• pp.275-277
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• 2011

KOGAS(Korea Gas Corporation) uses two-type vaporizers to send customers natural gas with imported LNG. In winter season, SMVs(SubMerged combustion Vaporizers) are mainly operated due to low seawater temperature. SMVs consume the natural gas of 1,520 $Nm^3/hr$ and emit a lot of $CO_2$ in winter time. If carbon taxes are activated on climate change, the tax burden will be severely heavy. Accordingly this work carried out numerical simulation with a commercail CFX code to investigate its possibility on the practical use of pure oxygen combustion of SMVs to reduce $CO_2$ and to improve its efficiency. First, a nozzle of a SMV's combustor is modelled. The combustion characteristics of Air/Fuel and Oxygen/Fuel are analyzed under folly insulated condition. Although we couldn't find the carbon reduction and the efficient elevation when the pure oxygen/fuel type was compared to the existing air/fuel one, we need a further study to investigate the effect of $CO_2$ recirculation.

• Proceedings of the Korean Society for Technology of Plasticity Conference
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• 2007.05a
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• pp.38-41
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• 2007

The increase of $CO_2$ emission by increasing of fossil fuel usage has been understood a major cause of global warming. The supply of electric energy is heavily dependent on the massive thermal power and nuclear power plant before developing the renewable energy to supply the electric energy stably at a low price. The large and sound forged components of pressure vessel, turbine and generator are widely used in power plant such as wind power, hydroelectric power generation, nuclear power and thermal power plant. This paper is discussed the trend of manufacturing technology for pressure vessel and turbine to satisfy the required condition of utility company. It is also introduced a strategy of forging industry to cope with carbon tax.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.6
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• pp.245-252
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• 2022

This study examines the strength of the impact of fiscal policy tools on economic wellbeing as measured by per capita income in Malaysia from 1996 to 2020. The impact of fiscal policy instruments on economic wellness, represented by real income per capita, is measured using the autoregressive distributed lags model. The speed of adjustment from short-run disequilibrium to long-run equilibrium is also measured to assess the strength of the fiscal instruments' impact on per capita income. Empirical results exhibit the existence of co-integration relationships between per capita income, tax revenue, and government spending. The findings provide strong support for the presence of a long-run positive impact on government spending and a long-run negative impact of tax revenue on per capita income. The coefficient of ECT_t-1 indicates that deviations from a short-run disequilibrium to a long-run equilibrium from the current to the future period are corrected with a speed of 76% (equivalent to a duration of 1.5-2 years to return to equilibrium). The practical and policy implication of the results is fiscal instruments play a significant role, mainly in alleviating the economic impact of the COVID-19 pandemic in the long run.

• Journal of Energy Engineering
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• v.17 no.2
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• pp.54-66
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• 2008

After the Kyoto Protocol has been ratified in Feb. 16 2005, the developed countries which is involved in Annex-1 have tried to mitigate GHG to the reduction objective. To accomplish this objective, EU developed EU-ETS, CDM project, and so on. Korea has faced pressure to be a member of Annex-1, because Korea and Mexico are only non-Annex-1 countries in the OECD nations. In this study, we simulated power plant expansion plan and calculated $CO_2$ emission with changing Carbon Tax. Especially, we focused on the competitiveness of IGCC and carbon capture technology. In our result, even though carbon tax rise, nuclear power plant does not always increase, it increase up to minimum load. LNG combined cycle power plants substitute the coal fired power plants. If there are many alternatives like IGCC, these substitute a coal fired power plant and we can reduce more $CO_2$ and save mitigation cost.

• IE interfaces
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• v.10 no.1
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• pp.237-248
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• 1997

The purpose of this study is to make an economic analysis of power plant utilities by examining electricity generating costs with environmental consideration. Economic growth has caused pollutant emission, and subsequent environmental pollution has been identified as a very real limit to sustainable development. Considering the enormous role of electricity in the national economy, it is thus very important to study the effect of environmental regulations on the electricity sector. Because power utilities need large investments during construction, operation and maintenance, and also require much construction lead time. Economic analysis is the very important process in the electric system expansion planning. In this study, the levelized generation cost method is used in comparing economic analysis of power plant utilities. Among the pollutants discharged of the electricity sector, this study principally deals with the control activities related only to $CO_2$, and $NO_2$, since the control cost of $SO_2$, and TSP (Total Suspended Particulates) is already included in the construction cost of utilities. The cost of electricity generation in a coal-fired power plant is compared with one in an LNG combined cycle power plant. Moreover this study surveys the sensitivity of fuel price, interest rate and carbon tax. In each case, this sensitivity can help to decide which utility is economically justified in the circumstance of environmental regulations.

• Korea Trade Review
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• v.48 no.4
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• pp.209-232
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• 2023

This study aims to estimate the export performance factors of Korean Steel Products to the EU and the expected changes in exports according to the CBAM(Carbon Border Adjustment Mechanism). the factors influencing the export performance of Korean Steel Products to the EU were analyzed using a Gravity Model, and the expected export amount in the case of a Carbon Tax was calculated assuming that the CBAM would be implemented in 2026, As a result, it was empirically analyzed that economic growth, population growth, exchange rate and manufacturing production index of each EU country have a positive effect on exports in Korea, and it was analyzed that the effects of the single market and system due to the EU's economic community were also helpful in increasing exports but the Carbon Tax is imposed in 2026, reducing Korea's steel exports by about -3.6% to -5.7%

• The Journal of the Korea Contents Association
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• v.14 no.2
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• pp.146-160
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• 2014

The purpose of this study is to suggest the goal and potential contributors of public fund for content industry in digital media environment with regard to the new content fund which Korean government has tried to establish since 2013. The study focuses on value transfer toward the digital content distributors as stressed by the French government introducing Culture tax on smart device. As the concentration of added-value poses a problem hampering the co-evolvement of total ecosystem, the goal of new content fund should focus on financing and digitalization of content, which should be financially contributed by content service providers and smart device manufacturers.

• Journal of Climate Change Research
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• v.5 no.2
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• pp.153-163
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• 2014

This study analyzed directions of the energy product efficiency improvement and Carbon Tax for the domestic building sector. In order to analyze GHG reduction potential and total cost, the cost optimization model MESSAGE was used. In the case of the "efficiency improvement scenario," the cumulative potential GHG reduction amount - with respect to the "Reference scenario" - from 2010 to 2030 is forecast to be $104MtCO_2eq$, with a total projected cost of 2.706 trillion KRW. In the "carbon tax scenario," a reduction effect of $74MtCO_2eq$ in cumulative potential GHG reduction occurred, with a total projected cost of 2.776 trillion KRW. The range of per-ton GHG reduction cost for each scenario was seen to be approximately $-475{\sim}272won/tCO_2eq$, and the "efficiency improvement scenario" showed as the highest in the order of priority, in terms of the GHG reduction policy direction. Regarding policies to reduce GHG emissions in the building sector, the energy efficiency improvement is deemed to deployed first in the future.